Government does not run a budget deficit

Assignment Help Business Economics
Reference no: EM131523899

Please answer following two questions.

1. Explain why the Debt/GDP ratio could increase even if the government does not run a budget deficit.

2. Suppose the reserve ratio is 20%. When a bank loans out $5000in excess reserves-but before anything else happens- how much does the money supply change? How much does the monetary base chase.

Reference no: EM131523899

Questions Cloud

Clinical decision making : As APN's become recognized or their accurate clinical decision making they become opinion leaders.
Find relationship between test results and the field results : Figure shows part of an influence diagram for a chemical that is considered potentially carcinogenic. How would you describe the relationship.
Identify the mountain system of south-central europe : Identify the mountain system of south-central Europe that crosses northern Italy, southeast France, Austria and into the northwest portion of Balkan Peninsula.
What is your philosophy when it comes to nursing : What is your philosophy when it comes to nursing? Which aspects of your philosophy do you think reflect the philosophical influences.
Government does not run a budget deficit : Explain why the Debt/GDP ratio could increase even if the government does not run a budget deficit.
Moral objectivism over subjectivism : Why would you choose moral objectivism over subjectivism? What is the difference between the two and what influenced your decision?
Choose moral objectivism over subjectivism : Why would you choose moral objectivism over subjectivism? What is the difference between the two and what influenced your decision?
Discuss issues of discrimination and social justice : Linda is 31 years old, single, outspoken, and very bright. She majored in philosophy. As a student, she was deeply concerned with issues of discrimination.
Measurement of both the exposure and the outcome : Choose a study design and justify the reasons you chose the design over others - describe the association between body mass index and asthma.

Reviews

Write a Review

Business Economics Questions & Answers

  Compute the lerner index

Two firms compete under Cournot competition with constant marginal costs c1 = 2 and c2 =6. The market demand is p=24-q. Compute the market share of each firm, the market price, and the total quantity produced in the market. Compute the Lerner index.

  Participants must trade energy exclusively

The rules of the Syldavian electricity market stipulate that all participants must trade energy exclusively through the Power Pool. However, the Syldavia Alu- minum Company (SALCo) and the Northern Syldavia Power Company (NSPCo) have signed a contrac..

  Set of efficient trades

the set of efficient trades these individuals would rationally make. One of the points on the set of efficient trades you illustrated in your diagram will be a competitive equilibrium.

  Maker of home thermostats and smoke detectors

List the service that most likely to have network effects within 5 years. Google Fiber (providing GBit Internet access to homes) Purchase of Nest (maker of home thermostats and smoke detectors) Purchase of several robotics companies (Boston Dynamics,..

  How will you determine the profit-maximizing quantity

A new good or service for an existing business or a business that you want to develop and how will you determine the profit-maximizing quantity?

  But many people complain about underemployment

The unemployment rate is declining in the USA; it is around 5%. But many people complain about underemployment, which means that they want to work full time, but they can find only a part-time job. The main concern of the second group is that the exp..

  What is the present worth of this investment

Arlisle Company has been cited and must invest in equipment to reduce stack emissions or face EPA fines of $19,500 per year. An emission reduction filter will cost $60,000 and will have an expected life of 5 years. Carlisle’s MARR is 9%/year. What is..

  Obtain major portion of export earnings from bottled water

In March 2007 it was announced that several restaurants in the greater San Francisco area would no longer provide bottled water to their patrons to save.

  What is level of utility the person will attain

Illustrate what is level of utility the person will attain on a daily basis. Illustrate what will be the average level of utility attained per day during the year.

  The current federal deficit and the current federal debt

Using only.gov Websites report the current GDP, the current Federal deficit, the current Federal debt, the bottom line of the current (last) budget approved by Congress (surplus or shortage). Note that the fiscal year for the federal government is Oc..

  Administrative infrastructure to get everything organized

They found that getting larger was painful it involved a lot of new administrative infrastructure to get everything organized

  What is the present equivalent of the rental income

Suppose that annual income from a rental property is expected to start at $1,350 per year and decrease at a uniform amount of $55 each year after the first year for the 12-year expected life of the property. The investment cost is $8,200, and i is 9%..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd