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Fiscal Policy

Current events

In light of recent events, in an open economy like the US, assuming a zero current account balance. What happens to investment, real interest rates, current account balance and national saving of the US economy with the following events? a. The US Congress and Mr. Obama introduce a "buy only American" policy in its legis

Measuring Economic Health Memo

Measuring Economic Health Memo Prepare a 350-700-word memo addressing the following: a. Describe the use of Gross Domestic Policy (GDP) to measure the business cycle. b. Describe the roles of government bodies that determine national fiscal policies. c. Explain the effects of fiscal policies on the economy's producti

Analyze the relationship between fiscal and monetary policy in an open economy

In 2003, the Internal Revenue Service began to mail out refund checks because of a change in the tax law. Economic forecasters predicted that consumption and GDP would increase because of higher refunds on income taxes. Pretend as if you are an economist and explain your thoughts on whether the tax cuts from the past few yea

Discuss: Discretionary Fiscal Policy

Task: Write a response explaining why time lags in discretionary fiscal policy can adversely affect the efforts of the Congress and the President in attempting to maintain a healthy economy. Could it happen that these time lags could actually work to destabilize the economy? Objective: - Identify current trends in macro

Economic affects on the trucking industry

Write a response in APA format that provides an economic profile of the trucking industry. Discuss how the following impacts this industry. Include at least eight sources, two for each topic. Include the APA-formatted references and a summary of the major points in the articles or web sites. o Shifts and price elasticity of

What US economic policies have affected the automotive industry

Please help with the following problem. Provide at least 300 words in the solution. How have US economic or fiscal policies affected employment rates? What US economic or fiscal policies might affect the growth or decline of the automotive industry? Have US economic or fiscal policies affected the pricing of autos?

Automatic fiscal stabilizer

Determine whether each of the following is an example of the automatic fiscal stabilizer. A) As the economy starts to recover from a recession & more people go back to work, government-funded unemployment compensation payments begin to decline. B) To stem an overheated economy the president, using special powers granted by

Determining the Effects of Discretionary Fiscal Policies

Part I Determine whether each of the following is an example of a discretionary fiscal policy action. Give reasons to support your answer. a. A recession occurs, and government-funded unemployment compensation is paid out to laid-off workers. b. Congress votes to fund a new jobs program designed to put unemployed workers to

Fiscal Policy

I need help with understanding fiscal policy and the concerns on which the US government bases its spending and taxation decisions. Also why dosen't an increase in aggreate demand translate into an increase in real GDP?

Housing Industry Research

How does the following impact the housing industry? Shifts and price elasticity of supply and demand Positive and negative externalities Wage inequality Monetary and fiscal policies How the economy affects the success of the housing industry Economic influences that can affect the housing industry in a negative way

Oil/Petroleum industry's price elasticity of supply and demand

*Research the Oil/Petroleum industry's price elasticity of supply and demand. - Is price elasticity of demand considered elastic or inelastic? - Are there substitutes available - Is the good a luxury or a necessity - What is the price elasticity of supply *Research any negative o

Mathematics for mpe and recessionary gap

Congratulations! You've just been appointed chairman of the Council of Economic Advisors in Textland. The mpe is 0.8. There is recessionary gap of $400. a. The government wants to eliminate the gap by changing expenditures. What policy would you suggest? b. Your research assistant comes running in and tells you that in

Calculate equilibrium Y, explain what will happen to IS LM curves

Given the following equations: C=500 +0.8(1-.025y) I = 900-50r G=800 T = 100 X = 350 M = 150+0.15y M/P = 500 L = .25y-62.5r Find a)AE equation b) IS curve c) LM curve d) equilibirum Y d) trade balance e)gov't budget f) what happens if g rises to 900? g)what is there is an increase in the supply of money?

Economics - US Debt

Go to: What is the total amount of U.S. government debt as of the time you look it up? How much is "held by the public"? How much is "Intergovernmental Holdings" and what does that mean? What are your thoughts on the U.S. debt? Would you make a "gift contribution" to hel

Fiscal Policy Simulation

What were the effects of the changes in fiscal policy in the simulation - Explain what happened in the simulation as you raised and lowered spending and income tax rates Describe how inflation, unemployment, and popularity were affected by at least three different configurations of spending and taxation. For example one co

Macroeconomics monetary, fiscal and political policies

____ 1. Which of the following would cause both the equilibrium price and equilibrium quantity of cookies to decrease? a. a rise in the price of milk (a complement) b. a rise in consumer incomes c. a rise in the price of cookie dough d. a drop in the price of cookie dough e. a rise in the price of cracker

Monetary and Fiscal Policy and Policy debate

1. Suppose you read in the newspaper that last week the Fed conducted open market purchases, and that on Tuesday of last week it lowered the discount rate. What would you say the Fed was up to? Describe the most likely economic condition of the economy. 2. What three tools can the Fed can use to change the money supply? Whic