Chapter 8—Unemployment and Inflation
... 21. If top government officials claim that "more people are working now than ever before," which of the following must be true? a. The unemployment rate is lower now than ever before. b. The number of people unemployed is lower now than ever before. c. The employment rate is higher now than ever bef ...
... 21. If top government officials claim that "more people are working now than ever before," which of the following must be true? a. The unemployment rate is lower now than ever before. b. The number of people unemployed is lower now than ever before. c. The employment rate is higher now than ever bef ...
International Doctorate in Economic Analysis Departament d’Economia i d’Història Econòmica
... fiscal multipliers by postulating an ad-hoc positive relationship between the output gap and the interest rate spreads’ elasticity to output. This mechanism plays the role of a financial accelerator for fiscal shocks; it speeds up reductions in spreads and economic recovery during recessions, while ...
... fiscal multipliers by postulating an ad-hoc positive relationship between the output gap and the interest rate spreads’ elasticity to output. This mechanism plays the role of a financial accelerator for fiscal shocks; it speeds up reductions in spreads and economic recovery during recessions, while ...
FISCAL RULES 2014-03
... And what about the effects of fiscal rules on the stabilisation function of fiscal policy? The literature has hardly investigated this research question, but it offers a number of theoretical and empirical contributions on the effects of fiscal policy on macroeconomic volatility. For example, Gali ( ...
... And what about the effects of fiscal rules on the stabilisation function of fiscal policy? The literature has hardly investigated this research question, but it offers a number of theoretical and empirical contributions on the effects of fiscal policy on macroeconomic volatility. For example, Gali ( ...
The profit maximizing level of output is found by equating its
... Why calculations of Gross Domestic Product (GDP) count only final goods and services? ► Because it is difficult to measure the prices of intermediate goods produced. ► Because these are the only goods and services that are purchased in an economy. ► Because counting all goods and services would lead ...
... Why calculations of Gross Domestic Product (GDP) count only final goods and services? ► Because it is difficult to measure the prices of intermediate goods produced. ► Because these are the only goods and services that are purchased in an economy. ► Because counting all goods and services would lead ...
The Conceptual Evolution of Inflation Inertia in Brazil
... conceptual gap that appeared, following disinflation in 1994, between the stabilization debates carried out in the 1980s and the way economists in Brazil began to describe downwardly rigid inflation patterns from the 1990s onwards. More precisely, we explore the “inertial inflation episode” as a cha ...
... conceptual gap that appeared, following disinflation in 1994, between the stabilization debates carried out in the 1980s and the way economists in Brazil began to describe downwardly rigid inflation patterns from the 1990s onwards. More precisely, we explore the “inertial inflation episode” as a cha ...
Chapter 25 Aggregate Demand and Supply Analysis
... (a) a lower price level, holding the nominal quantity of money constant, leads to a larger quantity of money in real terms, causes the interest rate to fall, and stimulates planned investment spending. (b) a lower price level, holding the nominal quantity of money constant, leads to a larger quantit ...
... (a) a lower price level, holding the nominal quantity of money constant, leads to a larger quantity of money in real terms, causes the interest rate to fall, and stimulates planned investment spending. (b) a lower price level, holding the nominal quantity of money constant, leads to a larger quantit ...
Do We Really Need Filters In Estimating Evren ERDOĞAN COŞAR Sevim KÖSEM
... maker, an output gap estimate for a certain period may call for contradictory policy moves (tightening vs. easing) at two different points in time. Besides, even when structural models are employed to incorporate economic information in the filtering process, end-sample problems may still stay alive ...
... maker, an output gap estimate for a certain period may call for contradictory policy moves (tightening vs. easing) at two different points in time. Besides, even when structural models are employed to incorporate economic information in the filtering process, end-sample problems may still stay alive ...
Macroeconomics
... combined population that dwarfs our own, are growing rapidly and playing ever-greater roles in an expanding global economy. The economic events of the past few years stand as a stark reminder that we live in a changing and sometimes turbulent world. New businesses are born and old ones die. New jobs ...
... combined population that dwarfs our own, are growing rapidly and playing ever-greater roles in an expanding global economy. The economic events of the past few years stand as a stark reminder that we live in a changing and sometimes turbulent world. New businesses are born and old ones die. New jobs ...
Fiscal policy and private saving in Australia
... impact of fiscal policy on short- and long-run aggregate demand. The model is estimated using the autoregressive distributed lag approach (ARDL) to cointegration, which provides both short- and long-run coefficient estimates, but also provides the flexibility to accommodate the introduction of coeff ...
... impact of fiscal policy on short- and long-run aggregate demand. The model is estimated using the autoregressive distributed lag approach (ARDL) to cointegration, which provides both short- and long-run coefficient estimates, but also provides the flexibility to accommodate the introduction of coeff ...
What Drives Inflation in a Small European Economy: The
... domestic real activity and import prices using a small open economy Phillips curve model. The main message of this part of the analysis is that both import prices and domestic real activity matter for domestic in‡ation dynamics. Although single-equation models like the Phillips curve convey some inf ...
... domestic real activity and import prices using a small open economy Phillips curve model. The main message of this part of the analysis is that both import prices and domestic real activity matter for domestic in‡ation dynamics. Although single-equation models like the Phillips curve convey some inf ...
Chapter 3. Will It Hurt?
... fiscal consolidation using a statistical concept––the increase in the cyclically adjusted budget surplus–– that, as this chapter shows, is a highly imperfect measure of actual policy actions. The chapter finds that this way of selecting cases of consolidation 3 Note that the literature on fiscal con ...
... fiscal consolidation using a statistical concept––the increase in the cyclically adjusted budget surplus–– that, as this chapter shows, is a highly imperfect measure of actual policy actions. The chapter finds that this way of selecting cases of consolidation 3 Note that the literature on fiscal con ...
Principles of Macroeconomics for AP® Courses
... 2.3 Confronting Objections to the Economic Approach . . . . . . . . . . . . . . Chapter 3: Demand and Supply . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.1 Demand, Supply, and Equilibrium in Markets for Goods and Services . . . . 3.2 Shifts in Demand and Supply for Goods and Services . ...
... 2.3 Confronting Objections to the Economic Approach . . . . . . . . . . . . . . Chapter 3: Demand and Supply . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.1 Demand, Supply, and Equilibrium in Markets for Goods and Services . . . . 3.2 Shifts in Demand and Supply for Goods and Services . ...
convergence report 1998
... Sweden and the United Kingdom) had average HICP inflation rates of below the reference value. This reference value was calculated by using the unweighted arithmetic average of the rate of HICP inflation in the three countries with the lowest inflation rates, plus 1.5 percentage points. These three c ...
... Sweden and the United Kingdom) had average HICP inflation rates of below the reference value. This reference value was calculated by using the unweighted arithmetic average of the rate of HICP inflation in the three countries with the lowest inflation rates, plus 1.5 percentage points. These three c ...
2 - Nimantha Manamperi, PhD
... Are We There Yet? What the Long Run Really Means • Because the economy always tends to return to potential output in the long run, actual aggregate output fluctuates around potential output, rarely getting too far from it. • As a result, the economy’s rate of growth over long periods—say, decades—is ...
... Are We There Yet? What the Long Run Really Means • Because the economy always tends to return to potential output in the long run, actual aggregate output fluctuates around potential output, rarely getting too far from it. • As a result, the economy’s rate of growth over long periods—say, decades—is ...
Ill. ii - Informetrica Limited
... affecting unemployment through the traditional supply side channels. Minimum wage legislation, labour market power, changes in social attitudes towards work, tax based distortions (tax wedge) and hysteresis are also found to have had significant unemployment effects. A distinction is drawn between d ...
... affecting unemployment through the traditional supply side channels. Minimum wage legislation, labour market power, changes in social attitudes towards work, tax based distortions (tax wedge) and hysteresis are also found to have had significant unemployment effects. A distinction is drawn between d ...
- Official Site of BAGUS NURCAHYO
... N. Gregory Mankiw is Professor of Economics at Harvard University. He began his study of economics at Princeton University, where he received an A.B. in 1980. After earning a Ph.D. in economics from MIT, he began teaching at Harvard in 1985 and was promoted to full professor in 1987. Today, he regul ...
... N. Gregory Mankiw is Professor of Economics at Harvard University. He began his study of economics at Princeton University, where he received an A.B. in 1980. After earning a Ph.D. in economics from MIT, he began teaching at Harvard in 1985 and was promoted to full professor in 1987. Today, he regul ...
Size, Determinants, and Use in Macroeconomic Projections
... circle of slow growth, deflation, and further tightening. Despite their expected benefits, multipliers are not widely used by economists in operational work. The main reason is that their estimation is tricky. In particular, it is difficult to isolate the direct effect of fiscal measures on GDP, bec ...
... circle of slow growth, deflation, and further tightening. Despite their expected benefits, multipliers are not widely used by economists in operational work. The main reason is that their estimation is tricky. In particular, it is difficult to isolate the direct effect of fiscal measures on GDP, bec ...
The End of the Great Depression 1939‐41: VAR Insight on Policy Contributions and Fiscal Multipliers
... This paper is about the size of fiscal multipliers and the sources of recovery from the Great Depression. Its contributions begin with a new quarterly data set for the interwar period that allows development of a VAR model of the U. S. economy over the period 1920‐41. The quarterly data facilit ...
... This paper is about the size of fiscal multipliers and the sources of recovery from the Great Depression. Its contributions begin with a new quarterly data set for the interwar period that allows development of a VAR model of the U. S. economy over the period 1920‐41. The quarterly data facilit ...
What are the Effects of Fiscal Policy Shocks ?
... Despite the novel methodology developed in this paper it is striking that many of these results are similar to those of the existing literature. As with Blanchard and Perotti (2002) we find that investment falls in response to both tax increases and government spending increases and that the multipl ...
... Despite the novel methodology developed in this paper it is striking that many of these results are similar to those of the existing literature. As with Blanchard and Perotti (2002) we find that investment falls in response to both tax increases and government spending increases and that the multipl ...
Monetary policy
Monetary policy is the process by which the monetary authority of a country controls the supply of money, often targeting an inflation rate or interest rate to ensure price stability and general trust in the currency.Further goals of a monetary policy are usually to contribute to economic growth and stability, to lower unemployment, and to maintain predictable exchange rates with other currencies.Monetary economics provides insight into how to craft optimal monetary policy.Monetary policy is referred to as either being expansionary or contractionary, where an expansionary policy increases the total supply of money in the economy more rapidly than usual, and contractionary policy expands the money supply more slowly than usual or even shrinks it. Expansionary policy is traditionally used to try to combat unemployment in a recession by lowering interest rates in the hope that easy credit will entice businesses into expanding. Contractionary policy is intended to slow inflation in order to avoid the resulting distortions and deterioration of asset values.Monetary policy differs from fiscal policy, which refers to taxation, government spending, and associated borrowing.