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With a federal budget deficit of nearly $350 billion, fiscal authorities are considering the following policy actions to address the existing economic problems of high unemployment, high inflation and slow GDP growth.
Policy 1: Decrease government expenditures.Policy 2: Increase in personal income taxesPolicy 3: Increase business taxes and regulations.
Describe the effect that each of the policies will have on the economy and demonstrate each on an individual AD-AS graph. Be sure to address the effect on output, employment and price level in your descriptions.
Why is the money multiplier in the United States smaller than the inverse of the required reserve ratio? Provide one (1) reason. Explain why depositing cash into a checking account does not change the money supply. Provide at least one (1) supporting..
Can you find an example of natural resource policies (in the USA or elsewhere) that attempt to achieve efficient rates of harvest for renewable resources?
We assume there are no lump-sum taxes and no dividend income: ? = T = 0. We assume h = 1 and the wage rate w = 1. There is a consumption tax such that for each purchased unit of consumption, the consumer needs to pay 1 +t units where t goes to the..
if you owe money to a bank. Will you gain or lose from an unanticipated decrease in inflation and how could inflation make people turn to exchange by barter?
Create a map of the polarity you have chosen from the simulation. Be sure your poles represent a true polarity and that your cells contain at least two to three items each. Explain the polarity dynamic of your map.
Carson Company is attempting to compare their services offered by different banks as it would like to have all services provided by one bank. Explain the different types of services provided by a financial institution that may allow Carson Company..
Discuss and explain the nature of social and labor issues that domestic producers will likely face with their international suppliers.
The US as well as Canada have intervened in the market and tried to internalize some of the costs of pollution by placing regulations on the amount of pollutants that industries can emit.
Illustrate what does this mean regarding the consumer surplus of the "last person" shown on the demand curve.
Explain the effectiveness of the exchange rate regime being used in terms of achieving macroeconomics objectively in South Africa and discuss any four macroeconomics objectives which can be used to judge the performance of the economy.
the study of how to increase resources and create conditions that will make better use of resources. Resource development or Economics or else.
Alexander is involved in a dispute related to his business. Alexander is considering legal action. Why may it be financially advantageous to alexander's business to avoid litigation and mediate the case
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