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... ignore the important issue of why redistribution takes place through distortionary commodity policies and not through lumpsum transfers. Foster and Rausser (1993) show that price and trade policies can be a preferred policy over lump sum transfers when redistribution is used to reduce opposition to ...
Federal Spending by Agency and Budget Function
Federal Spending by Agency and Budget Function

... growth) before climbing to the FY2005 level. The government spends this money on an immense number of activities through a large number of federal agencies. To provide some sense of what this money is spent on and in what amounts, this report ranks federal spending by federal agency and by the Offic ...
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hiGhEr SEconDAry-SEconD yEAr

... So, economics studies about the pricing process. And, as prices are paid in money, we study about the part played by money in the economic life of a society. We study how people get and spend money, how they earn a living and how it affects their way of life and so on. All the scarce goods which sat ...


... The form that national income—gross domestic product (GDP)3—takes from the accounting perspective is the familiar GDP = C + I. This expression can be extended in obvious ways to separately account for the government sector and for trade, but in general we can think of income as the sum of current co ...
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... However, as noted in Chapter 16, monetary policy is carried out by central banks, and in most industrialised countries the central bank is an independent body whose main goal is the maintenance of a low and stable rate of inflation. In some countries, including Poland, South Korea, Canada, England, ...
Chapter 3. From Recession to Recovery: How Soon and How
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... that the severity of the Great Depression could be attributed to monetary policy mistakes—the Federal Reserve failed to counter the tightening in monetary conditions from bank failures and increased cashto-deposit ratios. Although subsequent research has qualified some of Friedman and Schwartz’s fin ...
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... are aware that actually some public services have been contracted out to private suppliers already. At the other end, in the reformed economy, we assume that there are private providers only with the government financing their costs. But we are aware that some public production is always desirable ( ...
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NBER WORKING PAPER SERIES WHAT THE GOVERNMENT PURCHASES MULTIPLIER ACTUALLY MULTIPLIED

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... and Flodén (2001) , established that a proportional income tax rate changes nonmonotonically with debt. However, this literature did not explore how this feature could impact the shape of the Laffer curve. Röhrs and Winter (2015) recently extended this analysis to a carefully calibrated multi-tax ...
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How Does Macroeconomic Policy Affect Output?

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Working Paper 14-9: Sustainability of Public Debt in the United
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... major additional short-term fiscal stimulus by gauging the output gap as not much larger than reflected in reported unemployment. The simulations presented below suggest that there is some downside risk to the benign view that fiscal matters are under control even for the next decade or so. The basi ...
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Chapter 3. The Omnipresence of Common

... less contemptible in the eyes of his master, who is thereby induced to consider him with more regard, and to treat him with more gentleness. Gentle usage renders the slave not only more faithful, but more intelligent, and therefore, upon a double account, more useful. He approaches more to the condi ...
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... stocks currently. In fishing dependent coastal communities, higher incomes will increase demand for other products in the local economy, with subsequent flow on effects in production, incomes and employment. Also the extra profits can through taxes benefit society as a whole by using this surplus i ...
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E M conomic Statistics in acao SAR, China

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Chapter 4 D : M

... 4.1 The annual budget indicates three types of deficits, viz. revenue, fiscal, and primary. This chapter discusses the nature and magnitude of these deficits, their trend over time and the manner of financing these deficits. Deficits arise because of imbalances in revenue and expenditure. These imba ...
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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.
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