Essays on Expansionary.

Question 1. Explain why the aggregate demand curve slopes downward?

Answer: The summary of the IS-LM model is depicted by AD curve. AD curve slopes downward because at a lower level of price, the real money balance increases, and interest rate falls, which stimulates the investments. As a result the equilibrium income increases.

Question 2. What is the impact of an increase in taxes on the interest rate, income, consumption, and investment?

Answer: When the tax increases, it will cause the IS curve to shift towards left reaching to IS2 from IS1. As a result of this, the equilibrium point A shifts to B where the interest rate will reach to r2 by falling from r1. The income will also be reduced from Y1 to Y2. The increase in the tax ...

Current macroeconomic situation in the U.S

Macroeconomic factors define those economic factors that affect the economy at a larger scale. As per previous research analysis it’s been established that the U.S economy faces an economic downturn every four to six years (US Economic Outlook). As per the article ‘US Economic Outlook for 2014’, the current bull market is presently driving in its fourth year. Despite the fact that the markets are flourishing in this economic year, an average American is not. The major economic cavity of unemployment that poses a huge dilemma to every American still remains persistently high along with the household debt. Moreover the ...

THE UNITED STATES FEDERAL RESERVE SYSTEM

The Federal Reserve is the central bank of the United States of America (Federal Reserve System, 2013). It is governed by a board of directors appointed by the president, whose main responsibility is the determination of the monetary policy through the manipulation of the various monetary tools (Federal Reserve Board, 2013). The bank was originally formed in December 23rd 1913 by an act of congress and is currently headquartered in Washington D.C, with twelve other branches located in major cities across the country (Federal Reserve System, 2013).

One of the monetary tools that are used in setting the monetary ...

Role of Federal Reserve

In the past few years, the Federal Reserve has come under increased scrutiny due to the financial crisis of 2007 – 2009. It has been criticized for lowering the interest rates, which resulted in cheaper mortgages, and thereby precipitating into a full blown financial crisis. Further, it has also been criticized for transforming itself into an investment vehicle, due to its role in quantitative easing, even though it helped in financial recovery. Historically, it has been Federal Reserve’s dual mandate to maintain the stability of prices and employment. That it does by varying its federal funds target, by ...

Introduction

This is a strategy adopted by the government through the Central Bank to control macroeconomic shocks due to fluctuation in wages and prices of goods and services. Stabilization may include monitoring the business cycle and interest rate regulation by the central banks. Moderation of these factors leads to changes in unemployment rate, recovery of an economy from economic shock control borrowing and money supply. In general terms stabilization are used to regulate the fluctuation of business cycle. There are two main elements of stabilization policies, that is, monetary and fiscal policies.

Elements of Stabilization Policies

Monetary policy This is the process through which ...

Introduction

The airline industry mainly focuses on extensive planning, strategy and decision-making towards sustaining profitability and viability in operations. Through the inculcation of plausible operational policies, organizations manage to position themselves within an individual profitable niche. As such, various players within the airline sector inculcate diverse and individualized approach in operations that lead to differentiated outcomes. Thus, Allegiant Air is a performing company within US airline industry that has sustained its operations through specialized approach in operations. As such, the company has incorporated a low-cost approach that is driven by effective policies and performance approach. As a leisure and travel based carrier, its ...

Introduction

The AS-AD framework is a very useful economy tool, which reduces the economy into a simple model of supply and demand. The aggregate demand curve (AD) is given by the summation of consumption (C), investments (I), government purchases (G) and net exports (X-M). On the other hand, the supply curve is a function of the expected price levels. This paper uses the AS-AD model to analyse the economy at various levels of employment, and the adjustments that accompany movement various policy actions. It begins with a depiction of an economy operating at less than full employment, showing that economies often tend towards the ...

Question

Assume that the country is in a period of high unemployment, interest rates are at almost zero, inflation is about 2% per year, and GDP growth is less than 2% per year. Suggest how fiscal and monetary policy can move those numbers to an acceptable level keeping inflation the same. What is the first action you would take as the president? As the chairman of the Fed? Why? What would be your subsequent steps?

Answer

Analyzing the given data indicates us that this economy is suffering from the deflation. In another word, we see high unemployment, very low inflation and very ...

Question A

According to Gregory Mankiw (2011), trade balance reflects the difference between net worth of exports and imports in a given country. Consequently, positive trade balance suggests in monetary value country exports more than it imports, while negative trading balance (trade deficit) is associated with dominance of imports over exports. Economists argue that trade deficit is not always considered to have a negative impact on the national economy, however it often creates potential risks which may result in harsh economic consequences if they are not addressed properly. For example, if net exports are negative it is assumed that proceedings from exports are ...

In case, real GDP is lower than potential GPD expansionary policies are implemented in correcting contraction of business cycle. Expansionary Fiscal policy leads to increases in purchases by government, tax rate decrease and transfer payment increase to overcome contracting business cycle. Expansionary fiscal policy closes gap of recession, stimulates economy and decreases rate of unemployment.

Fiscal policy tools to stimulate economy are:

Government Purchases Expenditures done by government sector for services and final goods come under Government purchases. Government purchases are part of GDP bought by the government. Government purchases include heavy cost expenses like highway construction and aircraft clips carriers to smaller expenses like ...

In this section, I will provide a comparison of the inflation rate and economic growth of Belgium and the Eurozone. The inflation rate is defined as the percentage change in the price index from the preceding period. It captures the rate of change of prices calculated on a monthly or annual basis. The data on the inflation rate for Belgium and the Eurozone are presented below which I obtained from the news release of Eurostat (2013).

Meanwhile, economic growth is defined as the increase in the capacity of the economy to produce goods and services, compared from one period to another. ...

- When a country such as the United States is experiencing serve and prolonged recessionary trend discount rate, term auction, and open market facility can provide useful means of ensuring that the economy returns in the right course. Discount rate is the interest rate that the central bank charges commercial banks and other depository institutions when they receive money from the Federal Reserve Bank's lending facility. During periods of prolonged recessionary trend, the Federal Reserve System should reduce the discount rate in order to encourage commercial banks and other financial institutions to lower the interest rate they charge to ...

Credit rating of a country is mainly the ability of a country to repay the loans that it borrows both domestically and from other countries. It is mainly determined by the economic conditions that are prevailing in the country at a certain time. There are other factors that affect the credit rating of a country. This research paper will evaluate the credit rating of South Africa. The research will evaluate the cause of the current credit rating of South Africa and its effects to the country in various sectors of the economy (KRUGMAN, 2009). South Africa is a country that has a very good ...

Fiscal policy is the governmental instrument or program, which aims to stabilize economic situation and to improve economic health of the country. It usually deals with the purchase of goods and services as well as with the transfer payments in the country. Therefore, it influences the type and the level of taxes, optimal for the economy. Governmental intervention through fiscal policy usually aims to affect unemployment level, economic output and the level of prices in the economy. If there is a fiscal surplus (the revenues exceed expenditures) or the level of deficit is decreasing, compared to the previous periods, fiscal ...

Chapter 10

Question#1: Use Keynesian cross to explain why fiscal policy has a multiplied effect on national income. Answer: The equation for calculation of national income under Keynesian model is Y=C+I+G+(X-M). In this formula, the Y denotes national income, C denotes level of consumption, I denote level of investment done in the economy, G denotes government’s expenditure, X denotes imports, and M denotes imports of an economy. With the help of this formula, the governments drive fiscal policies for the economy. With the help of this equation, it has been said by Keynes himself that when the ...

Chapter 7

Define recession and expansion. What are the beginning and ending points of a recession called? In postwar Canada, which have been longer on average, recessions or expansions? Recession: Recession is the phase in the economy during which the economic activity declines. During this period, production, employment, income and all other economic activities falls below the normal level. A country generally experience negative economic growth during recession. Expansion- After recession, the economy slowly starts to recover and the expansion happens. Expansion is the economic period during which the country’s GDP starts to increase because of increased productivity, employment, real ...

The United States is facing gradual economic growth with large downside risks. The causes of the economic downturn in the US are attributed to the 2007 financial crisis when the nation experienced a housing bubble burst. Another root of downturn of the economy in the US is the sovereign debt crisis. This is so because the countries such as Greece are asking for assistance to finance their debt, which is affecting the US economy and the world economy. The fear is that this would take the United States economy to a low GDP level. Since the US is the leading economy, ...

Following the American Psychological Association’s Guidelines

INTRODUCTION The economy management of the country has two kinds of policies to intervene and regulate the markets in case of market failure: Fiscal policies and Monetary policies. Fiscal policies are the responsibility of the government, and the monetary policies are implemented by the Federal Reserve System (FED). The economic policies can be implemented in two ways: expansionary and contractionary economic policies. Expansionary policies stimulate the economy and expenditures of consumption and investment increases as the result of these policies. Contractionary policies slowdown the economy, and the expenditure level decreases. In this essay, the definitions of the fiscal ...

A budget is an integral part of any economy. It outlines the financial plans of a country to facilitate economic growth. Most countries, including the United States of America prepare a budget comprising a one fiscal year financial plan. The US budget has indicated a deficit since 2008; this indicates that the government’s expenditures exceed the amount of revenue collected from the tax revenue. The federal government borrows funds to achieve its expenditure needs, and the interest rate increases annually. The borrowed funds are paid using the tax receipts from the taxpayers; the US government usually pays off the interest rates exclusively, ...

Question 1

The federal reserve bank is a major institution in the American’s economy and society designed to offer financial stability by maintaining currency flexibility. The Fed as consistently played a significant role in the Untied States economy and monetary policy since its establishment. The Fed established in 1913, therefore, its the roles and regulations go back only to the early years of the 20th century. For instance, the Fed came into play when a harsh economic crisis started in 2008. During this period the GDP shrank, unemployment increased and millions of Americans were worried about their futures. It was the role of ...

In deliberating about economic issues, economist agrees on particular goals, which include economic growth, decrease in the unemployment rate and low inflation. In order to attain these goals, the federal reserve can take action via fiscal or monetary policies. Fiscal policy concerns taxes and spending while monetary policy involves the supply of money and the level of interest rates. Therefore, when either of these policies is not implemented properly, it can result in an economic downturn as reflected on the last year of the Bush Administration. The last year of the Bush Administration experienced an economic downturn because ...

Abstract

This paper is on the topic of Government Expenditures and Revenues, Budget, National Debt. The first part of this paper will discuss the effect of government purchases on aggregate demand. The second section of this paper will discuss the shift in aggregate demand curve and change in GDP in comparison to aggregate demand curve, on the bases of factors like government purchases, GDP and the multiplier. The Final section of this paper will discuss the issue of crowding out and its implications on fiscal policy changes.

Government Expenditures and Revenues, Budget and National Debt

Yes, all government purchases have the same effect on the aggregate demand curve. ...

[Class Title]

Introduction This paper would like to discuss Ryanair’s business strategy and how it is linked with the company’s financial accountability. As stated by Friedman, a business’s primary accountability is to increase its profit. Apparently, financial accountability does not only relate to providing accurate reports and financial statements to avoid fraud. An equally important concept of financial accountability is on how it relates to managing company resources, expanding on strengths and how it effectively uses accounting tools to develop strategies that would provide economic benefit for the company. However, economic forces can sometimes become confusing. ...

Analysis of the current macroeconomic situation

Macroeconomic analysis entails the study of the behavior of the aggregate economic phenomena that include economy growth rate, inflation, price levels, gross domestic product, national income and the unemployment levels. Currently, the utmost concern of the US government is on the high unemployment levels. Dating back from the great recession, the labour conditions have been deteriorating where the unemployment rates increased from 5% in the last quarter of 2007 to 10% in the final quarter of 2009 (Katz, 2014). In early 2012, the rate was at 8.3% but ended at 7.8 %, and the declining trend has been seen with ...

American Public University

Abstract The global financial crisis started in 2008 opened a new era for the economy managers in the developing countries and the United States. Using the conventional tools and strategies to cope with the financial crisis will not create the desired results anymore. This new experience indicates us that the economy managers and the governments need to develop more complex and detailed strategies to overcome the issues in the economies. The Federal Reserve is one of the responsible institutions for the economy management. The FED has always been blamed for not developing a proper response against the economic and financial ...

Introduction

Economy experiences macroeconomic fluctuations over time that affects economic growth. The aggregate output, consumption, investment, net export, and employment may tend to grow over time but then drop suddenly. Economists continue to discern the current condition of the economy and where it is heading so that they can effectively deal with future economic events. Macroeconomic fluctuations mainly involve changes that occur in the demand-side of the economy, which determine the gross domestic product. GDP= C+I+G+NX Gross domestic product is never constant, but change due to many reasons like changes in government policies mainly in ...

U.S. Fiscal and Monetary Policy

Fiscal policy

Fiscal policy denotes the use of government spending and taxation in order to steer the economy to the desired direction at a point in time. There are two types of fiscal policies, and they include the contractionary and the expansionary fiscal policies. In contractionary fiscal policies, the government enacts policies aimed at reducing the production in the economy. These could entail an increase in tax and lowering the government expenditure in the economy. On the other hand, the expansionary fiscal policies entail the policies adopted by the government with a view of increasing the overall output ...

Article Review

Article 1 Published on: October 22, 2014

The Summary The tax cut policy followed by Kansas has led to a shortfall in the revenue this year. The tax revenue collected in the fiscal year 2014 was $700 million less than that of the previous year. According to the director of taxation Steve Slotts, this revenue shortfall is temporary in nature. This temporary deficit is being met through the expenditures from the reserve fund. But the revenue shortfall in the first three months of the fiscal year 2015 that began in July 2014, suggests that this shortfall is permanent. ...

THE ROLE OF GOVERNMENT IN A MARKET ECONOMY

Introduction 2 What is Different Happened in 2008? 3 The Monetary Policy’s Contribution 6 Looking for Guilty Agents or Guilty Ideas in the Economies 7 An Important Example for the Developing Countries: the Egyptian Economy? 8 Conclusion 9

References 12

THE ROLE OF GOVERNMENT IN A MARKET ECONOMY Introduction The first economist believed in the full competition. Adam Smith expressed that there is a perfect system in the economy similar to the perfect system in the universe. As the God does not intervene the system in the universe after the creation, the state or ...

In all economies, policy makers have a significant role in the regulation of activities relating to macroeconomics with a general aim of maintaining and sustaining economic stability (Blanchflower, 2008). A stable economy is, therefore, the primary goal for all economic policy makers. This is essential in enhancing the growth as well as social welfare of the economy. The US economy is currently facing a number of tribulations (Karanassou & Sala, 2010). This has further been augmented by the fact that this economy is yet to heal fully from the recently concluded global financial crisis in 2009 (Daugeliene, 2012). The crisis adversely affected all ...

Fiscal policy is a crucial economic tool that is used by governments to maximize optimum employment and output levels. Earlier emphasis was laid only on monetary policy to stabilize economic and growth indicators. According to me, a fiscal policy should be used by the economy not only to smooth business cycles but control factors like interest rates that slow economic growth. An expansionary Fiscal policy can reduce government debt and raise employment. The US economy has recently suffered recession, and its Fiscal policy helped it in increasing the aggregate demand and pulled the economy out of the grim situation. The current ...

Macro-Economics

About the report: The report is based on the calculation of GDP for the Republic of China for the year 2001-2011. For the purpose of calculation of report, we have used the theoretical expenditure method where the GDP will be calculated as the sum of Final Consumption Expenditure+ Gross Capital Formation+ Net Exports. Another assumption in the calculation is related to use of only Chinese Yuan to calculate the GDP and annual growth in GDP. In other words, for the purpose of simplicity, we have avoided the conversion of numbers from Chinese Yuan into US Dollars. Hence, my ...

Expansionary Fiscal Policy

Fiscal Policy refers to the federal government use of spending and taxation to meet the macroeconomics goals. At the time of recessionary periods, the federal government, in order to smooth the economic cycles, reduce the taxes and increase the government spending g. Important to note that each of these measures has an important effect on the aggregated demand, GDP and employment and the same is discussed below:

Effect of reduced rates of Taxes:

As a general phenomenon, income taxes reduce the incentive to work by creating a tax wedge between pre-tax and after-tax wages. Thus, at the time of the recessionary period, the federal government in order ...

Austerity

a). The current deficit panic and the debt, which are associated with recession has created an alarming situation in most of the countries, and threatened the economies of countries. They are however, a staple of the politics of several countries. In order to cope with the problem of fiscal deficit, and debt, the governments of many countries are adopting austerity measures. The republicans are demanding cuts and the Democrats are demanding cuts, and an increase in the tax. But, as a matter of fact, the budget cuts are not the right thing to do at such moments. In this regard, if the ...

INTRODUCTION

Economies these days face the challenges and combat with the rising inflation continuously. The structure of the macroeconomic policy encourages the economic growth. The tools used for the stability of the economy are in some of the cases referred to as the expansionary economic policy. The fiscal and the monetary decisions of the economy determine the policies which end recession. These policies are usually formed by the central banks which determine the increasing or the decreasing money supply. The expansionary policy is considered as an effective tool for managing the low growth periods which arise in the business cycle. ...

1. Capital budgeting utilizes various financial tools in evaluating investment options. Of important consideration in these decisions is the cost of capital, since it determines the returns that will accrue from the investment decision (Brealey, et al 2011) The cost of capital can be two fold, either the published interest rates by the financial institutions, or the average of all the sources of financing for the project, a method called the weighted average cost of capital. (Please see the attached excel workings for the company’s weighted average cost of capital) In determining the most appropriate cost of ...

Section I: Selection of Business

Economics is a social science concerned with decision making along with money making. Macroeconomics is concerned with the general problems of the whole economy as inflation, unemployment and growth. To start any business, the tools of economics are very important. I had chalked out a few prospective business plans for starting my own commercial activity. There was a lot of dilemma in the beginning, the plans were so many but the feasibility had to be worked out. I arrived at two options first, to open a café and second to open a fitness studio. Both the café and fitness were in great demand. Since ...

Unlike most countries, that use the central Bank system the U.S has a federal Banking system which is also known as the fed. The headquarters of the federal Bank is in the capital Washington D.C and also has other twelve district banks in different locations. Decisions made by the Federal Reserve Bank are critical because they ensure that the country has a safe and sound financial system. Federal Reserve Act established the fed in 1913 and was formed to solve problems of money in the country. Therefore, the Federal Reserve Bank is mandated to formulate the best fiscal and monetary policies ...

Introduction:

Monetary policy refers to the strategy undertaken by a country’s monetary authority to control money supply usually by targeting the interest rate to facilitate economic growth and stability. The Australian government charges the Reserve Bank of Australia with the responsibility of maintaining sustainable economic growth, high employment rate and steady prices. In other words, the RBA strives to achieve the goals of full employment and non-inflationary level of total output. To accomplish these objectives, the RBA closely monitors the economy and puts in places policies to either increase or decrease the amount of money circulating in the economy. Consequently, ...

[University affiliation] The Gulf war between Iraq and Kuwait in 1990-1991 led to an increase in petrol price and affected both The US and the EU negatively The economic objectives of every nation are stabilization of the economy, keeping the level of inflation and unemployment below the target rate (Carbaugh, 2012, p.481). All of the governments pursue these goals given the large abundance of external factors that affect the macroeconomic policies of the state. The main concepts for the determination of economic growth are of course the growth of Gross Domestic Product, which is comprised of Aggregate ...

Private investment has great significance for the growth and development of an economy specially that of a developing country. Changes in the economic policies are equally important for the investment as it is for the growth of the economy. Fiscal policy has a strong relation with the growth of economy and the most important element for this relation is private investments. Fiscal policy refers to the use of revenues collected by the government through the taxes and the spending by government to affect the economy. With the interaction of the government activity with the private sector, a positive effect is seen on the ...

IS-LM model also known as the Investment Saving-Liquidity Preference Money supply model is a macroeconomic tool that shows the interrelationship between interest rates and the actual output, in the money market as well as the goods and services market. The point at which the IS and LM curves intersect is known as the general equilibrium. This is an extremely fundamental tool and has been used by different economists in a bid to explain the various macroeconomic concepts that define how activities flow in the goods and services market and monetary market. As a critical tool among monetarists and Keynesians the IS-LM model ...

Overview:

Best Buy, currently fighting to be the number one consumer electronics retailer title in the United States, began quite humbly indeed. The company started as a single location car and home stereo store in 1966. In North America alone, Best Buy has some 1400 locations, while the figure goes up to 2600 in Europe and China. Industry analysts believe that Best Buy has certainly improved its standing in recent times, and this is backed by the demise of two of the company's major competitors, Circuit City, and CompUSA. Best Buy was pushed on by a strong market share, healthy stock prices, and a ...

Introduction

In general, markets do not adjust automatically to bring about equilibrium. Thus, historically, many economists, including John Keynes, recommended the need for government intervention. In his book, ‘ The General Theory of Employment, Interest and Money’, Maynard Keynes asserts that the government should intervene actively in order to manage the level of aggregate demand in an economy so as to bring about desired level of employment and output. His argument is attributed to the fact that wages are rigid and, thus, may not fall enough to clear the market and solve the unemployment problem. Broadly, the government can intervene in ...

Sequestration refers to the reduction of budgetary costs by the United States federal government. In 2013, the federal government cut spending in particular categories of expenditure. Primarily, the cuts were on account of the Budget Control Act (2011) that were similarly deferred for some period by the American Taxpayers Relief Act (2012) till March when the law was implemented. According to Demaree, sequestration can be described as the practice of reducing obligatory spending in federal government budget (1). These cuts are occasioned when expenditure for the government surpasses the total income the government receives in one financial year (Sequestration ...

Sequestration and the Government Shutdown of October 2013

Sequestration is a budgetary process in the United States under which limits on the federal budget are imposed. The process of sequestration involves setting a cap on the amount of spending that the government can undertake at any given period of time. The capping of the government spending is not a blanket one and it targets specific categories of expenditure. Budgeting in the federal government of the United States is carried out through a process which involves both the executive and the congress. The executive arm of the government prepares a budgetary estimate of expenditures covering a specific period of time and the congress, ...

Introduction

There are two kinds of tools available to the economic policy-makers through which they tend to influence the economy of the country; these two tools are fiscal and monetary. The former policy related to the spending of the government and the collection of revenue like altering the disposable income of the people by lowering taxes or increasing the spending so that demand is stimulated. The latter which is the monetary policy is associated with the supply of money and is influenced by such factors like the rate of interest and the reserve requirements for the banks. Usually these policies ...

Business cycles can result to some undesirable effects on an economy with a perfect example being the 2008/2009 global recession that resulted into negative economic growth and economic conditions in many countries. The recession left the US economy riddled with a number of economic problems that needed to be addressed in order to stabilize the economic system. Among the key objectives for the US government included increasing the GDP that had reduced significantly, reducing unemployment level that had risen from 5% to% and was is expected to rise to 10%, increasing private investments, stabilizing the market to address the problems of ...

Fiscal policy is an intervention in which the government uses its spending and taxes to influence economic activities in desired ways. It is concerned with the allotment of resources between the private and the public sectors with the aim of attaining the desirable level of growth and stability. The national government plays a vital role in regulating activities in the economy through the use of fiscal and monetary policies to influence various economic indicators such as inflation, investments and savings. Discretionary fiscal policy pursues the Keynesian hypothesis where the central government manipulates demand to influence price levels, output and ...

<Student’s name> <University>

Abstract

Recession in economy (particularly in macroeconomics) - This term refers to a relatively mild, non-critical production decline or slowdown in economic growth. The decline in production is characterized by zero growth in gross national product (GNP) (stagnation), or a decline for more than half a year.

The recession is a phases of the economic cycle (conditions) that follows the boom and is replaced by depression.

A recession often leads to a massive drop in the index on the stock exchange. As a rule, the economy of a country depends on the economies of other countries, so the economic downturn in a particular country may lead to a slowdown in the economies of other countries, and even to the collapse ...

Introduction and Background

The go green debate is gaining currency in the business world. It is no longer the preserve of governments to regulate the market for purposes of sustainability. With the emergence of environmental awareness, business units have been roped forcefully into the go green bandwagon. Closely intertwined with the go green course, is ethical consciousness in which organizations, employers and employees are required to make informed and ethically conscious decisions. In the United States of America, after the Enron Scandal, the ethical course has taken a statutory footing with the enacted of the Sarbanes Oxley Act. It is on that premise ...

China identity and China toward other countries through economy

ABSTRACT China is a country that for centuries competes with the shadows all other superpowers. Its identity is its high birth rate, a tradition going back centuries and its fearless economy. What the rest of us are interested in is just the identity of China's throughout its economy. Source: Stähle, Stefan. Chinese Journal of International Politics. 2009. doi:10.1093/cjip/pop010. Yongnian, Zheng, and Joseph Fewsmith. China’s transition and uncertainties. n.d. Zhao, Suisheng. The China Model: can it replace the Western model of modernization?. 2010. doi:10.1080/10670561003666061. Zweig, David. Internationalizing China: Domestic Interests and Global Linkages. Ithaca: Cornell ...

China identity and China toward other countries

Chinese civilization had a strong influence throughout East Asia, including religious levels (Confucianism and Taoism) and linguistic (the sonograms were used throughout the region and many Chinese words are present in the languages ​​that are spoken ). Chinese civilization, which lasted for nearly five thousand years, is one of the oldest civilizations in the world and is sometimes cited as the oldest continue. Its origin lies in the valley of Huang. He spread southward (conquest of the territories south of the Yangtze River since the Han Dynasty), west (first incursions into Central Asia during the Han, temporary extension until 'the Caspian ...

In 2008 the world, and the U.S. in particular, were hit by what is referred to as the worst financial crisis since the Global Depression. Unusually severe crisis provoked unusually aggressive response from the Federal Reserve, and their actions still remain the topic of numerous debates – some argue that the response neglected long-term consequences focusing only on stabilizing the situation in the short perspective (Meltzer, 2012), while the others point out that had the government not intervened, 2010 GDP would have been 11,5% lower and number of people employed would been lower by 8,5 million (Blinder & Zandi, ...

The Largest Actor in the Economy: Government

Government is an organization founded by the collaboration of all people in a country which is assigned to organize country management, protect its citizens’ rights, provide public services to its citizens and develop country economy and welfare level. Governments are mostly elected organizations for a certain time period and they need citizen votes for being on power. They make economic, social and political development plans and present it to citizens; and if people gives them power, government can implement its plan strategies. Government is the largest organization in all countries. To do its duties spends a lot of resource and ...

ANALYSIS OF CHINA'S ECONOMY

ABSTRACT China still being a developing nation has witnessed quite difficulties in managing the economy. Due to the constantly rising challenges including high level of inequality, rapid urbanization along with demographic pressure related to aging of population and migration of labor, China has lost its competitiveness in the international market. Even though, China has become the world’s largest exporter of goods and services, it still faces difficulties in managing the troublesome economy of the nation. The high level of trade deficit along with high credit requirements of both public and private sector has reduced the economy of ...

Chapter 14

Question 2 I think the reason why labor force participation of women is lower than that of men in the United States is because the policies that have been in existence have been favoring men more than women. This means that women have been discriminated when it comes to labor force participation. However, in modern time there has been a dramatic increase in the labor force participation of women. Many factors have contributed to this increase. There has been numerous legislations such as the Equal Pay Act of 1963 that have been formulated to help in diminishing sexual discrimination ...

Introduction. 3

Expansionary monetary policy.3 Contractionary monetary policy3 Australian monetary policy3 Objectives of Australian monetary policy.4 Australian Monetary policy framework4 The decision process in monetary policy...5

Monetary policy implementation in Australia5

Transmission of Monetary policy to Australian economy.6 Conclusion .7 Introduction The monetary policy is a policy that is used by the monetary authority of a given country to control the money supply in the economy. This policy frequently targets a certain interest rate with an objective of promoting economic stability and growth in an economy. The official goals normally include relatively low unemployment and stable prices. This policy can either ...

Monetary policy refers to actions of the government, through the country’s monetary authority, to regulate the economy by influencing the supply of money and credit, and the prevailing interest rates. The Federal Reserve is the monetary authority of the U.S.A. Therefore, it is in charge of formulation and implementation of monetary policy in the U.S.A. Monetary policy seeks to achieve the five macroeconomics goals; full employment, economic growth, favourable balance of payment, price stability and income redistribution. In the U.S.A, monetary policy has been effective in regulating the economy and in pursuit of the chief macro-economic goals of ...

In any economy, several tools can be used to control the amount of money in circulation. The most common tools of controlling money in circulation in any economy are in form of policies like monetary and fiscal policies. Monetary policy addresses the issue of money supplied in the economy by either expansionary or contractionary policies which regulate the amount of money in circulation (Michael 2008.). Since money can be claimed to be the main factor that dictates employment, inflation and of the economy related issues in a region, its supply has direct impact on the mentioned spheres of the ...