NBER WORKING PAPER SERIES Huixin Bi Eric M. Leeper
... debt and deficits upon interest rates. Barth et al. (1991) surveys 42 earlier papers through 1989, of which 17 claimed positive effects, 19 showed negative effects, and 6 found mixed effects. Gale and Orszag (2003) review recent studies and conclude that current deficits tend to have a significant impact ...
... debt and deficits upon interest rates. Barth et al. (1991) surveys 42 earlier papers through 1989, of which 17 claimed positive effects, 19 showed negative effects, and 6 found mixed effects. Gale and Orszag (2003) review recent studies and conclude that current deficits tend to have a significant impact ...
Interest Rates
... The interest rate is the relative price of current consumption in terms of future consumption • When any relative price changes, there are two distinct effects that impact consumer behavior – The substitution effect: as relative prices change, consumer typically alter purchases to favor the good th ...
... The interest rate is the relative price of current consumption in terms of future consumption • When any relative price changes, there are two distinct effects that impact consumer behavior – The substitution effect: as relative prices change, consumer typically alter purchases to favor the good th ...
Roads to Prosperity or Bridges to Nowhere?
... policy. In the United States during the Great Depression, programs such as the Works Progress Administration and the Tennessee Valley Authority were key elements of the government’s economic stimulus. In the Great Recession, government spending on infrastructure projects was a major component of the ...
... policy. In the United States during the Great Depression, programs such as the Works Progress Administration and the Tennessee Valley Authority were key elements of the government’s economic stimulus. In the Great Recession, government spending on infrastructure projects was a major component of the ...
NBER WORKING PAPER SERIES FISCAL SHOCKS IN AN EFFICIENCY WAGE MODEL
... for the quantitative responses of hours worked and of real wages to a fiscal policy shock. In particular it shares the strengths and weaknesses of high labor supply elasticity RBC models. So the model can account for the conditional volatility of real wages and hours worked. But it cannot account fo ...
... for the quantitative responses of hours worked and of real wages to a fiscal policy shock. In particular it shares the strengths and weaknesses of high labor supply elasticity RBC models. So the model can account for the conditional volatility of real wages and hours worked. But it cannot account fo ...
Document
... relatively weak global outlook and the persistent risk of a financial crisis originating in the euro zone. After growing by 6.9% in 2011, the economy will slow to 5.6% in 2012, supported by still-strong private investment. Assuming that global conditions improve, GDP growth will pick up to an annual ...
... relatively weak global outlook and the persistent risk of a financial crisis originating in the euro zone. After growing by 6.9% in 2011, the economy will slow to 5.6% in 2012, supported by still-strong private investment. Assuming that global conditions improve, GDP growth will pick up to an annual ...
How to break the Gramm-Rudman
... The last decade saw an extraordinary upward shift in the distribution of income and wealth (Mishel and Simon, 1988 and McIntyre, 1988). Moreover, contrary to a widespread misconception, the consumer spending “binge” of the eighties was almost entirely concentrated among people in the top 20 percent ...
... The last decade saw an extraordinary upward shift in the distribution of income and wealth (Mishel and Simon, 1988 and McIntyre, 1988). Moreover, contrary to a widespread misconception, the consumer spending “binge” of the eighties was almost entirely concentrated among people in the top 20 percent ...
A delicate equilibrium: IHS Jane`s annual defence spending review
... Despite the initiation of operations against IS, overall the US defence budget - the only budget of a scale capable of dictating global trends - has declined from its fiscal year 2010 (FY 2010) peak of USD743.3 billion. This is primarily due to the steep decline in Overseas Contingency Operations (O ...
... Despite the initiation of operations against IS, overall the US defence budget - the only budget of a scale capable of dictating global trends - has declined from its fiscal year 2010 (FY 2010) peak of USD743.3 billion. This is primarily due to the steep decline in Overseas Contingency Operations (O ...
International Development Economics Associates (IDEAs) International Conference on
... This paper focuses on economic policies and judges their success based on their impact on growth and poverty reduction. The Millennium Development Goal of halving extreme income poverty by 2015 expresses the consensus of the international development community that poverty reduction is of overriding ...
... This paper focuses on economic policies and judges their success based on their impact on growth and poverty reduction. The Millennium Development Goal of halving extreme income poverty by 2015 expresses the consensus of the international development community that poverty reduction is of overriding ...
The U.S. Deficit/Debt Problem: A Longer-Run Perspective
... in Figure 8, which shows the highest marginal individual tax rate in the U.S. tax code and individual income tax revenue as a percent of GDP from 1972 through 2011.4 As the figure shows, the numerous changes in marginal individual income tax rates have had little perceptible effect on tax revenue, e ...
... in Figure 8, which shows the highest marginal individual tax rate in the U.S. tax code and individual income tax revenue as a percent of GDP from 1972 through 2011.4 As the figure shows, the numerous changes in marginal individual income tax rates have had little perceptible effect on tax revenue, e ...
Measures to decrease corruption and
... government for personal gain. The finance is not properly used which results in poor quality infrastructure/facilities. This means that prices will increase because infrastructure will require frequent maintenance/rebuilding. This will cause people’s real incomes to decrease in value which will then ...
... government for personal gain. The finance is not properly used which results in poor quality infrastructure/facilities. This means that prices will increase because infrastructure will require frequent maintenance/rebuilding. This will cause people’s real incomes to decrease in value which will then ...
President’s Report Board Directors
... its slowest pace in four years. The housing market continues to be a drag on the economy and inflation remains stubborn, but consistent employment growth has been able to sustain incomes and consumer spending. The increase in real GDP in the first quarter was due primarily to positive contributions ...
... its slowest pace in four years. The housing market continues to be a drag on the economy and inflation remains stubborn, but consistent employment growth has been able to sustain incomes and consumer spending. The increase in real GDP in the first quarter was due primarily to positive contributions ...
Poor people Providers
... information about local govts., and on national newspapers for national govts. • In Nigeria, uncertainty about fiscal resources available to local govts. • In India, voters hold state governments responsible for local services ...
... information about local govts., and on national newspapers for national govts. • In Nigeria, uncertainty about fiscal resources available to local govts. • In India, voters hold state governments responsible for local services ...
The production possibilities curve illustrates which two of the
... Those who are interested in assessing the relative standard of living of different countries over a given time period are most likely to look at ...
... Those who are interested in assessing the relative standard of living of different countries over a given time period are most likely to look at ...
Computing Cyclically Adjusted Balances and Automatic
... This formula offers a practical and simple way to compute automatic stabilizers, but it is counterintuitive on two grounds. First, the contribution of automatic stabilizers is found to depend on g—the expenditure-to-GDP ratio—even though the formula derives from the assumption that spending does not ...
... This formula offers a practical and simple way to compute automatic stabilizers, but it is counterintuitive on two grounds. First, the contribution of automatic stabilizers is found to depend on g—the expenditure-to-GDP ratio—even though the formula derives from the assumption that spending does not ...
Where Does All the Money Go: Shifts in Household Spending Over
... It is commonly supposed that economic change affects the size of a household’s overall pie without much altering the pie’s composition: consumers may have more or less to spend in a given year, but spending patterns remain relatively constant. Evidence suggests that this is far from the truth. Under ...
... It is commonly supposed that economic change affects the size of a household’s overall pie without much altering the pie’s composition: consumers may have more or less to spend in a given year, but spending patterns remain relatively constant. Evidence suggests that this is far from the truth. Under ...
The Congress, The President, and The Budget
... process continued….. • Appropriations Committees: “who gets what”; take old/ new policies from subject matter committees and decide how much to spend. • Congress as a whole: approves taxes and appropriations; members look for places of interest to add into the budget (dams and military bases). • Gov ...
... process continued….. • Appropriations Committees: “who gets what”; take old/ new policies from subject matter committees and decide how much to spend. • Congress as a whole: approves taxes and appropriations; members look for places of interest to add into the budget (dams and military bases). • Gov ...
(When) Does Austerity Work? On the Conditional Link between
... and fiscal consolidation was framed largely around two theoretical schools of thought. On the one hand, the Keynesian tradition which saw fiscal expansion as growth-inducing, owing to the premise of price- and wagestickiness. Drawing on the well-known ‘fiscal multiplier’, the prediction was essentia ...
... and fiscal consolidation was framed largely around two theoretical schools of thought. On the one hand, the Keynesian tradition which saw fiscal expansion as growth-inducing, owing to the premise of price- and wagestickiness. Drawing on the well-known ‘fiscal multiplier’, the prediction was essentia ...
Economics 2015 H (marking scheme)
... Less distortionary: VAT does not discourage work unlike increases in income tax. Could be politically more popular than income tax: it may be easier for government to raise tax revenue through indirect tax rather than income tax as these taxes are included in the price of the good or service. Govern ...
... Less distortionary: VAT does not discourage work unlike increases in income tax. Could be politically more popular than income tax: it may be easier for government to raise tax revenue through indirect tax rather than income tax as these taxes are included in the price of the good or service. Govern ...
CHAPTER 13 Capital Mobility and the Exchange Rate in the IS
... 1. An increase in government purchases (G) will increase the level of output (Y) and interest rates (i). This will cause an inflow of capital resulting in a higher value of the country's currency. The currency appreciation will lead to a loss in competitiveness, and net exports (NX) will be crowded ...
... 1. An increase in government purchases (G) will increase the level of output (Y) and interest rates (i). This will cause an inflow of capital resulting in a higher value of the country's currency. The currency appreciation will lead to a loss in competitiveness, and net exports (NX) will be crowded ...