• 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
2 3 4 ISSUE: 19
2 3 4 ISSUE: 19

... is calculated by consolidating the revenues and expenditures of these administrations. ...
Answers to Text Questions and Problems Chapter 22 Answers to
Answers to Text Questions and Problems Chapter 22 Answers to

... 10. First, government spending and taxing decisions may affect potential output as well as planned aggregate expenditure. What the government spends its money on, as well as the incentive effects of changes in tax and transfer programs, need to be factored in when evaluating the effects of fiscal p ...
CHAPTER 25
CHAPTER 25

... EXPANSIONARY POLICIES Government policies that increase total demand and GDP. • Tax cuts and spending increases are examples of expansionary policies ...
Implementation of the GFSM 2001
Implementation of the GFSM 2001

... Accrual accounting does not mean that recording cashflows is not important. In fact, accounting for cashflows is part of the accrual accounting framework. As with cash-based accounting, measures need to be put in place to safeguard the proper application of the accrual concepts to prevent abuses and ...
Professor`s Name
Professor`s Name

... relative to costs. The negative side of this is that even though real GDP went up from $2,330.36 to $2,361.72, consumption fell from $1,127.21 to $1,106.82 and investment went down significantly from $265.15 to $119.30. Even with the expanded money supply, the higher interest rate (10.009% compared ...
Introduction to Macroeconomics
Introduction to Macroeconomics

... APL = TP/L ...
Activity 3: Economic Conditions in the 1920s
Activity 3: Economic Conditions in the 1920s

... Activity 3: Economic Conditions in the 1920s ...
TITLE SLIDE OPTION 1 - The South African Savings Institute
TITLE SLIDE OPTION 1 - The South African Savings Institute

... Reasons for poor household savings • Savings = f (income, propensity to save) • Low disposable income growth ...
CHAPTER 30
CHAPTER 30

... b. The result is what economists call pro-cyclical fiscal policy – changes in government spending and taxes that increase the cyclical fluctuations in the economy, rather than reduce it. c. In order to deal with this, economists have suggested states establish rainy-day funds – reserves held in goo ...
Economics Revision: Conflicts between Macro Objectives
Economics Revision: Conflicts between Macro Objectives

... a. During  a  period  of  strong  GDP  growth,  falling  unemployment  might  create  demand-­‐ pull  and  cost-­‐push  inflation  leading  to  a  fall  in  the  real  purchasing  power  of  money.     b. This  trade-­‐off  is  often  exp ...
Jorge Gaggero: Argentina: Lessons From the Past and
Jorge Gaggero: Argentina: Lessons From the Past and

... crisis, with great attention paid to the needs of an economy that was experiencing strong growth since the end of the 19th century. In Argentina, social pressure and democratic progress forced the introduction to Congress of the first three bills on income tax under the first democratic presidents ...
Name:
Name:

... accomplished typically through open-market operations (selling bonds), but could also be achieved with an increase in the reserve ratio or discount rate. The restrictive monetary policy would reduce the lending ability of the banking system, increase the real interest rate, reduce investment spendin ...
Paraguay_en.pdf
Paraguay_en.pdf

... owing to the limited increase in public revenues, which were slightly below expenditure. The primary balance showed a deficit equivalent to 1.6% of GDP. Thus, for the second consecutive year, the public accounts yielded a deficit, following eight years of surplus. The more restrictive fiscal policy ...
Current Issues in Economics: A Critical Analysis of Obama`s and
Current Issues in Economics: A Critical Analysis of Obama`s and

... at a profit to the government. Europe’s stress tests were laxer, and some banks that passed have subsequently had to be bailed out. Textbook economics dictates that when conventional monetary policy is impotent, only fiscal policy can pull the economy out of a slump. For the first time since the 193 ...
Essentials of Economics, Krugman Wells Olney
Essentials of Economics, Krugman Wells Olney

... dollar of fiscal policy) Policy Explanation of policy Extend emergency federal ...
MTTC Preparation - Eastern Michigan University
MTTC Preparation - Eastern Michigan University

... Rate = (# of unemployed / labor force) x 100 ...
1. If Carol`s disposable income increases from $1,200 to $1,700 and
1. If Carol`s disposable income increases from $1,200 to $1,700 and

A 100
A 100

... Changes in the composition of the overall demand for labor tend to be deflationary in the the long run. e. The natural rate of unemployment is independent of monetary and fiscal policy changes that affect aggregate demand. ...
Economic Policy
Economic Policy

... • Taxes and spending are the major tools with which government implements policy. • Policymakers rely on economic theories to explain how the market or capitalist economy works. • An absence of government control over the economy is termed laissez faire. ...
– 62 No: 2012  Release date: 25 December 2012
– 62 No: 2012 Release date: 25 December 2012

... 12. The Committee expects that year-end inflation will be significantly lower than the forecast presented in the October Inflation Report, owing to the favorable course of unprocessed food prices. Core inflation indicators are also expected to follow a downward trend in the short-term owing to cost ...
lovewellch11
lovewellch11

...  when debt is used to create productive assets, it is not necessarily a problem  there have been times in the past when public debt as a percent of GDP was higher than now ...
background
background

... capital from overseas. As it became apparent that the economic impact of the Asian Crisis was deeper than had been expected, fiscal targets in Asian countries were relaxed to take account of falling government tax revenues. Monetary policy A high interest rate policy has the twin effects of reducing ...
Parent Bill of Rights
Parent Bill of Rights

... 1) Will spend money—and lots of it 2) Can very assertive, perhaps “coercive” 3) Uses competition to make big changes 4) Exercises executive powers, esp. waivers 5) Opportunistic, in support of policy aims; i.e., does not support “federalism” as goal  Uses state discretion to advance policies throug ...
Origins of Great Depression II
Origins of Great Depression II

Dialogue among Ministers: How can the economic crisis
Dialogue among Ministers: How can the economic crisis

... Crises and Implications for Health Status Over the period 1980-2004, one million excess infant deaths in Africa due to 1% or greater decline in GDP  Effects vary across income groups  The poor and near-poor are the most vulnerable  The wealthier the country the better they are able to cope  Dur ...
< 1 ... 339 340 341 342 343 344 345 346 347 ... 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