Reference no: EM13823361
East Malvidas: East Malvidas is a small island country with big economic problems. Currently the unemployment rate is 16 percent and the price level is increasing at a rate of 20 percent a year. Gross Domestic Product fell again this year, marking the second straight year of a prolonged recession. Income taxes (where the federal government receives most of its revenue) are highly progressive and the top marginal tax rate is 90 percent, impacting the incomes of 30 percent of the population.
Over the past several years the money supply has been increasing at a 30 percent annual rate and the country has run both a federal budget surplus and a trade surplus. Tariffs on foreign goods are some of the highest in the world and many countries have retaliated by placing quotas on exports from East Malvidas. Thus, exports are a small part of the country's economic output.
With national elections two years away, the governing authorities are anxious to get the economy turned around before they have to stand for reelection.
You have been hired by the government of East Malvidas and given vast power to recommend both monetary and fiscal policy. What will be your recommendations to improve the economy?
1. What would be the appropriate fiscal policies (taxes and spending) given the current economic situation? (Be specific with regard to the effects of these policies on particular groups.) What problems might your recommendations best address? Why?
2. What types of monetary policy might be best for addressing the current situation (and which tools would you use to enact these policies)? What problems might your recommendations best address? Why?
3. How might you address the current situation with respect to international trade? What policies would you recommend and how will these policies improve on the current situation? Identify the likely beneficiaries of your policies and who might be opposed to your recommendations.
|
Class and gained vast amounts of knowledge
: 1. I believe I improved my knowledge within this class in multiple ways a few of these include being able find research better. I also was able to learn a lot form this class and gained vast amounts of knowledge that I previously did not know. I also..
|
|
Unfair competition case
: MC was a famous entertainer. MC estate is owned by his surviving spouse, Mary. Mary has formed MC, Incorporated, and the major asset of the MC Inc is the MC name
|
|
Write about a specific event in your life
: write about a specific event in your life that will engage readers, and that will, at the same time, help them to understand the importance of the message you are relating, or, argument you are making.
|
|
The coefficients of vehicles are indicated
: 2) In Hepburn's Speed Model, the coefficients of vehicles are indicated for C and D. As the chief of operations in your organization, you are responsible for presenting the yearly budget for the semi trucks in your company's inventory. Since your saf..
|
|
Island country with big economic problems
: East Malvidas: East Malvidas is a small island country with big economic problems. Currently the unemployment rate is 16 percent and the price level is increasing at a rate of 20 percent a year. Gross Domestic Product fell again this year, marking th..
|
|
Propose an activity and get instructor approval
: Key types of activities are a museum visit or a performance - Write a two to three page report that describes your experience.
|
|
Write a public method called handletwoarrays
: Q3. Write a public method called handleTwoArrays that accepts two integer arrays (assuming they are of same sizes) as parameters. The method invokes switchTwoArrays to perform switching if the sum of the values in the first array is smaller than the..
|
|
Evaluate ethical issues inherent in criminal justice system
: Analyze both the court system's likely view on the accused's rights, as well as the court system's likely treatment of the defendant during trial proceedings. Provide support for the analysis. Assuming the accused is ultimately sentenced to a term of..
|
|
Create a specific job for which you might want to apply
: create a specific job for which you might want to apply at a particular business or organization in your area. Outline what that position would look like.
|