and Uncertain Fiscal Financing - Federal Reserve Bank of Kansas City
... “Unfunded Liabilities” and Uncertain Fiscal Financing and the current fiscal stimulus are mere hiccups. Of course, the CBO’s projections are accounting exercises, not economic forecasts. The accounting embeds the assumption that current policies will remain in effect over the projection period. Bec ...
... “Unfunded Liabilities” and Uncertain Fiscal Financing and the current fiscal stimulus are mere hiccups. Of course, the CBO’s projections are accounting exercises, not economic forecasts. The accounting embeds the assumption that current policies will remain in effect over the projection period. Bec ...
Macro-economics of balance-sheet problems and the
... Since 2010, policy interest rates of central banks in the Western world have been close to or at zero, also known as the zero lower bound. This situation changes the way the economy responds to economic shocks. At the zero lower bound, cash and short-run bonds have become perfect substitutes. Open-m ...
... Since 2010, policy interest rates of central banks in the Western world have been close to or at zero, also known as the zero lower bound. This situation changes the way the economy responds to economic shocks. At the zero lower bound, cash and short-run bonds have become perfect substitutes. Open-m ...
MERCATUS RESEARCH THE CASE FOR NOMINAL GDP TARGETING Scott Sumner
... crises. They note wages and prices adjusted swiftly to the 1921 deflation, allowing a quick recovery, and countries with well-run banking systems, such as Canada, did even better. The big bone of contention is the Great Depression. Should that be blamed on the gold standard or meddlesome government ...
... crises. They note wages and prices adjusted swiftly to the 1921 deflation, allowing a quick recovery, and countries with well-run banking systems, such as Canada, did even better. The big bone of contention is the Great Depression. Should that be blamed on the gold standard or meddlesome government ...
ESSAYS ON MONETARY AND FISCAL POLICY By Andrea Pescatori
... The thesis is focused on the policy implications of financial markets imperfections for the business cycle. The view that the financial structure and the performance of credit markets may be important to understand macroeconomic facts dates back at least to Gurley and Shaw (1955). However, many resu ...
... The thesis is focused on the policy implications of financial markets imperfections for the business cycle. The view that the financial structure and the performance of credit markets may be important to understand macroeconomic facts dates back at least to Gurley and Shaw (1955). However, many resu ...
Slide 1
... Members are reluctant to make the spending cuts needed to make a serious dent in outlays A substantial number have pledged not to raise taxes ...
... Members are reluctant to make the spending cuts needed to make a serious dent in outlays A substantial number have pledged not to raise taxes ...
Chapter 12
... The Monetarist School Both wages and prices are highly flexible and adjust quickly to supply and demand conditions The economy automatically tends toward fullemployment equilibrium Government intervention is not needed and worsens the effects of the business cycle Focus on the role of money as being ...
... The Monetarist School Both wages and prices are highly flexible and adjust quickly to supply and demand conditions The economy automatically tends toward fullemployment equilibrium Government intervention is not needed and worsens the effects of the business cycle Focus on the role of money as being ...
Saving, Investment, and the Financial System
... surplus because it receives more money than it spends. The surplus of T-G represents public saving. If G>T, the government runs a budget deficit because it spends more money than it receives in tax revenue. ...
... surplus because it receives more money than it spends. The surplus of T-G represents public saving. If G>T, the government runs a budget deficit because it spends more money than it receives in tax revenue. ...
Unit 2 Measuring the Performance of the Economy Objectives
... Factor cost and market prices The GDP at factor cost measures the cost to businesses to employ the factors of production. The GDP at market prices include the prices consumers will pay for the goods on the market. The difference between factor cost and market prices is the subsidies and taxes levied ...
... Factor cost and market prices The GDP at factor cost measures the cost to businesses to employ the factors of production. The GDP at market prices include the prices consumers will pay for the goods on the market. The difference between factor cost and market prices is the subsidies and taxes levied ...
The cyclicality of fiscal policy in South Asia
... instruments, i.e. tax rates and government spending, and economic cycles. These fiscal policies are (i) acyclical fiscal policy; (ii) counter cyclical fiscal policy; and (iii) procyclical fiscal policy. Fiscal policy is said to be acyclical when spending and tax rates remain constant over the econom ...
... instruments, i.e. tax rates and government spending, and economic cycles. These fiscal policies are (i) acyclical fiscal policy; (ii) counter cyclical fiscal policy; and (iii) procyclical fiscal policy. Fiscal policy is said to be acyclical when spending and tax rates remain constant over the econom ...
Government borrowing, debt and debt interest
... This is a purely statistical note on public sector borrowing (the budget deficit), public sector debt and government debt interest payments. The charts below show public sector net borrowing, public sector net debt and debt interest payments. The data are in the table below the charts. Outturn figur ...
... This is a purely statistical note on public sector borrowing (the budget deficit), public sector debt and government debt interest payments. The charts below show public sector net borrowing, public sector net debt and debt interest payments. The data are in the table below the charts. Outturn figur ...
Ordoliberalism, Pragmatism and the Eurozone Crisis
... The importance of price stability has implications for the perspective on fiscal policy as well. In his survey, Biebricher claims that the German position on monetary issues prohibits them from supporting much-needed policies of fiscal stimulus for Eurozone countries faced with high unemployment and ...
... The importance of price stability has implications for the perspective on fiscal policy as well. In his survey, Biebricher claims that the German position on monetary issues prohibits them from supporting much-needed policies of fiscal stimulus for Eurozone countries faced with high unemployment and ...
Injections and leakages in the circular flow model of the
... The government increases revenues from taxes on high-income earners by £2bn and uses the money to increase spending on welfare payments to low-income families at £2bn ...
... The government increases revenues from taxes on high-income earners by £2bn and uses the money to increase spending on welfare payments to low-income families at £2bn ...
Monetary Policy: Can the Federal Reserve
... promote maximum sustainable production and employment and (2) to maintain stable prices in the economy. The Fed has three policy tools at its disposal: (1) the reserve requirement, (2) the discount rate (also called the primary credit rate), and (3) open-market operations. Employing any of these too ...
... promote maximum sustainable production and employment and (2) to maintain stable prices in the economy. The Fed has three policy tools at its disposal: (1) the reserve requirement, (2) the discount rate (also called the primary credit rate), and (3) open-market operations. Employing any of these too ...
Government size, composition of public expenditure, and
... inhabitant of Liechtenstein lived with $222 per day, while a Zimbabwean lived with only $0.48? 1 Why is life expectancy 83 years for a Japanese and only 45 years for an Afghan? In addition to the wide differences between developed and developing countries, there are also dissimilarities within each ...
... inhabitant of Liechtenstein lived with $222 per day, while a Zimbabwean lived with only $0.48? 1 Why is life expectancy 83 years for a Japanese and only 45 years for an Afghan? In addition to the wide differences between developed and developing countries, there are also dissimilarities within each ...
FEDERAL BUDGET POLICY AND DEFENSE STRATEGY Dennis S. Ippolito February 15, 1996
... fiscal constraints. Army leadership struggles daily with the tradeoffs that have to be made when balancing the needs of today's readiness against the cost of tomorrow's modernization. The decisions that are made are difficult, and not without long-range consequences, central to the nation's security ...
... fiscal constraints. Army leadership struggles daily with the tradeoffs that have to be made when balancing the needs of today's readiness against the cost of tomorrow's modernization. The decisions that are made are difficult, and not without long-range consequences, central to the nation's security ...
The Role of Demand Management Policies in Reducing
... on the short-run equilibrium unemployment rate in subsequent periods. The presence of these persistence mechanisms, which are embedded into the equations of the vector autoregressions, imply that one cannot simply identify the gap between the actual and the "no-demandshock" unemployment rates in the ...
... on the short-run equilibrium unemployment rate in subsequent periods. The presence of these persistence mechanisms, which are embedded into the equations of the vector autoregressions, imply that one cannot simply identify the gap between the actual and the "no-demandshock" unemployment rates in the ...
ECONOMICS
... 3. The cost of doing something includes its full economic cost. 4. Humans behave rationally. 5. Humans benefit from voluntary exchange----otherwise they wouldn’t trade. WHY IS THERE SCARCITY? Because wants are unlimited and resources are limited. To cope, we must make choices and face trade-offs MAR ...
... 3. The cost of doing something includes its full economic cost. 4. Humans behave rationally. 5. Humans benefit from voluntary exchange----otherwise they wouldn’t trade. WHY IS THERE SCARCITY? Because wants are unlimited and resources are limited. To cope, we must make choices and face trade-offs MAR ...
How Can GDP Accounts Be Made More Effective for Business
... C: Production 100 in 1 & 2. Higher imported oil prices reduce real consumption in period 2 to 95. This is not what the NBER means by a business cycle (there may be subsequent multiplier effects) D: Production 100 to 95. Lower imported oil prices allow consumption to be 100 and 100. This is the k ...
... C: Production 100 in 1 & 2. Higher imported oil prices reduce real consumption in period 2 to 95. This is not what the NBER means by a business cycle (there may be subsequent multiplier effects) D: Production 100 to 95. Lower imported oil prices allow consumption to be 100 and 100. This is the k ...
Household health system contributions and capacity to pay
... under- or overestimation could be more clearly identified. In the analysis, total household consumption is assumed to equal total private consumption. Strictly speaking, this is not the case since private consumption is the market value of all goods and services purchased, or received in kind, by ho ...
... under- or overestimation could be more clearly identified. In the analysis, total household consumption is assumed to equal total private consumption. Strictly speaking, this is not the case since private consumption is the market value of all goods and services purchased, or received in kind, by ho ...
Economic Investigations #10 Monetary Policy
... to promote maximum sustainable production and employment in the national economy. The second goal is to maintain stable prices in the national economy. What are the tools of monetary policy? The Fed has three tools it can use to regulate reserves in the commercial banking system, as well as the supp ...
... to promote maximum sustainable production and employment in the national economy. The second goal is to maintain stable prices in the national economy. What are the tools of monetary policy? The Fed has three tools it can use to regulate reserves in the commercial banking system, as well as the supp ...
Concept and Definition of Income in the National Accounts
... (b) The recommendation settles a border case. Border cases are typical for empirical systems. They require judgement and not pure logic alone. It is sometimes said that the national accounts are nothing more than a set of measurement conventions, implying that they are subjective or even arbitrary a ...
... (b) The recommendation settles a border case. Border cases are typical for empirical systems. They require judgement and not pure logic alone. It is sometimes said that the national accounts are nothing more than a set of measurement conventions, implying that they are subjective or even arbitrary a ...
This PDF is a selection from a published volume from... Volume Title: Tax Policy and the Economy, Volume 23
... taxation. Land is the classic example of a factor inelastic in supply and therefore nondistortionary to tax, though taxing land raises other issues and in any case modern governments require far more revenue than is feasible to obtain from land taxes alone. A good part of the problem facing governme ...
... taxation. Land is the classic example of a factor inelastic in supply and therefore nondistortionary to tax, though taxing land raises other issues and in any case modern governments require far more revenue than is feasible to obtain from land taxes alone. A good part of the problem facing governme ...
Chapter 30
... Now substitute MPC Y for C in the equation at the top of the screen Y = MPC Y + I © 2013 Pearson ...
... Now substitute MPC Y for C in the equation at the top of the screen Y = MPC Y + I © 2013 Pearson ...