• Study Resource
  • Explore Categories
    • Arts & Humanities
    • Business
    • Engineering & Technology
    • Foreign Language
    • History
    • Math
    • Science
    • Social Science

    Top subcategories

    • Advanced Math
    • Algebra
    • Basic Math
    • Calculus
    • Geometry
    • Linear Algebra
    • Pre-Algebra
    • Pre-Calculus
    • Statistics And Probability
    • Trigonometry
    • other →

    Top subcategories

    • Astronomy
    • Astrophysics
    • Biology
    • Chemistry
    • Earth Science
    • Environmental Science
    • Health Science
    • Physics
    • other →

    Top subcategories

    • Anthropology
    • Law
    • Political Science
    • Psychology
    • Sociology
    • other →

    Top subcategories

    • Accounting
    • Economics
    • Finance
    • Management
    • other →

    Top subcategories

    • Aerospace Engineering
    • Bioengineering
    • Chemical Engineering
    • Civil Engineering
    • Computer Science
    • Electrical Engineering
    • Industrial Engineering
    • Mechanical Engineering
    • Web Design
    • other →

    Top subcategories

    • Architecture
    • Communications
    • English
    • Gender Studies
    • Music
    • Performing Arts
    • Philosophy
    • Religious Studies
    • Writing
    • other →

    Top subcategories

    • Ancient History
    • European History
    • US History
    • World History
    • other →

    Top subcategories

    • Croatian
    • Czech
    • Finnish
    • Greek
    • Hindi
    • Japanese
    • Korean
    • Persian
    • Swedish
    • Turkish
    • other →
 
Profile Documents Logout
Upload
National Income and Related Aggregates
National Income and Related Aggregates

... production of goods & services. The supply of these FOP come from these FOP from households. These factors offers their services to the producers (also known as firms) who in returns produce goods &services & make payments as reward in the form of rent, wages, interest & profits. The households spen ...
By How Much Does GDP Rise If the Government Buys More Output?
By How Much Does GDP Rise If the Government Buys More Output?

... output, a fairly elastic response of employment to changes in labor demand, and a degree of complementarity of consumption and work estimated from micro data. Modern models generally embody the life-cycle model of consumption, where households use credit markets to smooth consumption. It is widely b ...
Fiscal Policy
Fiscal Policy

Productivity
Productivity

...  If you really want to help poor countries, don’t send them money…give them the means to produce ...
Objectives for Chapter 16: Government Spending
Objectives for Chapter 16: Government Spending

31 March 2016 Household real income in 2015: the fastest growing
31 March 2016 Household real income in 2015: the fastest growing

... from abroad, especially by interest and income from employment. A negative balance of primary income from abroad was historically the highest and reached CZK 343 bn. Gross national income in real terms increased by 4.7% in 2015 having thus higher growth rate than the gross domestic product. Gross di ...
Chapter 1: The balance of payments: an account of transactions with
Chapter 1: The balance of payments: an account of transactions with

... 1.3. Private and government saving We define net tax revenue T as the difference between receipts of public authorities (federal, state, or local governments + Social Security (the National Health Service)) less government transfer payments: T = taxes + social security contributions – social transfe ...
American Government
American Government

... 5. No food or drink is allowed in the classroom. 6. Students can only leave the class with a corridor pass. 7. No use of personal electronic devices (I-Pods, cell phones, etc.). - There is absolutely no need for these in class, and they will be confiscated if found. This process is explained in the ...
bank of montreal
bank of montreal

... This is so because the Bank of Canada has stated that low, stable and predictable inflation is the key way the Bank can contribute towards solid economic performance and rising living standards for Canadians. If it is felt by the Bank that inflation may get away from the 1 – 3% target range in the f ...
IB Economics Section 2.6 Supply
IB Economics Section 2.6 Supply

Meeting Date: August 16, 2012
Meeting Date: August 16, 2012

... prices. Although weak global outlook dampens the upside pressures on commodity prices, prevailing geopolitical and supply-side problems pose upside risks regarding energy prices in the short term. Moreover, the recent rapid increase in agricultural commodity prices pose risks regarding processed foo ...
25_econ_chapter_15
25_econ_chapter_15

... is a change in the level of investment (I…but also C and G) is a change in Aggregate Demand. Monetary policy has a powerful impact on the economy; the Fed Chairman has been called the second most powerful person in the U.S. ...
Chapter 10 Aggregate Demand & Aggregate Supply
Chapter 10 Aggregate Demand & Aggregate Supply

... quantities into a single unit is (deduction/conglomeration/aggregation). 2. The AD curve shows the amount of (real/nominal) domestic output which will be purchased at each possible (price/price level). ...
The Political Economy of Balanced Budget
The Political Economy of Balanced Budget

... 1960s, but their size had increased to 61 percent by 2010 (Figure 2). The composition of spending shifted from temporary to structural expenditures. A balanced budget rule is seen by proponents as a way to limit these expenditures. They argue that reducing debt will result in lower interest rate pay ...
marking scheme - Careers Portal
marking scheme - Careers Portal

... Due to lack of competition the quality of service provided may be poor. Lack of innovation The lack of competition means that a Monopolist does not have to innovate or develop new products or services. May engage in price discrimination Some monopolies engage in price discrimination which means that ...
The textbook starts with IS, LM, and the Phillips curve altogether in a
The textbook starts with IS, LM, and the Phillips curve altogether in a

... Existence of Equilibrium; ...
Chapter 5: Goods and Financial Markets: The IS
Chapter 5: Goods and Financial Markets: The IS

... market becomes: Y  C(Y  T )  I (Y , i )  G ...
Chapter 2 Economic Activity
Chapter 2 Economic Activity

... greater than the supply – this cans sometimes stimulate economic activity if it is kept relatively low.  Causes of inflation – Demand for goods is greater than supply. When a large supply of money, earned or borrowed, is spent for goods that are in short supply – prices increase.  Measuring inflat ...
Solutions to Problems - Pearson Higher Education
Solutions to Problems - Pearson Higher Education

... Workers and employers will eventually anticipate the expansion of aggregate demand and build in inflationary expectations to wage negotiations. 5b. To reduce inflation a Reserve Bank that lacks credibility will need to reduce inflationary expectations by a surprise increase in interest rates so tha ...
Objectives for Chapter 16: Government Spending
Objectives for Chapter 16: Government Spending

... Of all of the areas in the federal government’s budget, the one that received the most attention in the 2000 election campaign was Social Security. (In 2004, more attention was paid to defense spending.) This occurred because of some major problems that are likely to exist in the future for both the ...
Name of presentation
Name of presentation

... - Finance the projects or activities related environmental promotion ...
Macro ppt - Dublin City Schools
Macro ppt - Dublin City Schools

... nation’s money supply. This could be accomplished by doing all of the following EXCEPT A decreasing the discount rate B increasing the reserve requirement C selling securities on the open market D making banks hold a reserve for all types of deposits ...
BRAZIL
BRAZIL

... Marina Silva, but Rousseff was re-elected to a second term in October 2014. Brazil is spending heavily to host marquee sporting events, but Brazilians resent the fact that they are left to contend with poor public services, antiquated and insufficient infrastructure, high taxes, inflation, corruptio ...
Power Point Slides Fifteen: Worldly Philosophers Ch. 9
Power Point Slides Fifteen: Worldly Philosophers Ch. 9

Lecture 12 - Har Wai Mun
Lecture 12 - Har Wai Mun

... • On the steep portion of the AS curve, expansionary policy does not work well. The multiplier is close to zero. • When the economy is operating near full capacity, an increase in AD will result in an increase in the price level with little increase in • In this case, policy output. ineffective: Out ...
< 1 ... 269 270 271 272 273 274 275 276 277 ... 580 >

Fiscal multiplier

In economics, the fiscal multiplier (not to be confused with monetary multiplier) is the ratio of a change in national income to the change in government spending that causes it. More generally, the exogenous spending multiplier is the ratio of a change in national income to any autonomous change in spending (private investment spending, consumer spending, government spending, or spending by foreigners on the country's exports) that causes it. When this multiplier exceeds one, the enhanced effect on national income is called the multiplier effect. The mechanism that can give rise to a multiplier effect is that an initial incremental amount of spending can lead to increased consumption spending, increasing income further and hence further increasing consumption, etc., resulting in an overall increase in national income greater than the initial incremental amount of spending. In other words, an initial change in aggregate demand may cause a change in aggregate output (and hence the aggregate income that it generates) that is a multiple of the initial change.The existence of a multiplier effect was initially proposed by Keynes student Richard Kahn in 1930 and published in 1931. Some other schools of economic thought reject or downplay the importance of multiplier effects, particularly in terms of the long run. The multiplier effect has been used as an argument for the efficacy of government spending or taxation relief to stimulate aggregate demand.In certain cases multiplier values less than one have been empirically measured (an example is sports stadiums), suggesting that certain types of government spending crowd out private investment or consumer spending that would have otherwise taken place. This crowding out can occur because the initial increase in spending may cause an increase in interest rates or in the price level. In 2009, The Economist magazine noted ""economists are in fact deeply divided about how well, or indeed whether, such stimulus works"", partly because of a lack of empirical data from non-military based stimulus. New evidence came from the American Recovery and Reinvestment Act of 2009, whose benefits were projected based on fiscal multipliers and which was in fact followed - from 2010 to 2012 - by a slowing of job loss and private sector job growth.
  • studyres.com © 2026
  • DMCA
  • Privacy
  • Terms
  • Report