Optimal Monetary Policy in a Two Country Model with Firm
... terms of trade and reducing the monetary distortion which depends on the size of the monopoly distortion. The terms of trade channel just described generates one conflict of interest between the two countries. However, this conflict is not the only basis for policy competition because monetary policy ...
... terms of trade and reducing the monetary distortion which depends on the size of the monopoly distortion. The terms of trade channel just described generates one conflict of interest between the two countries. However, this conflict is not the only basis for policy competition because monetary policy ...
The Canadian Business Cycle: A Comparison of Models
... In the view of early business-cycle writers, (e.g., Keynes 1936; and Mitchell 1927), the business cycle, or classical cycle, is characterized by long expansions in real aggregate economic activity, punctuated by sudden, infrequent, and violent contractions. These phenomenon summarize the so-called t ...
... In the view of early business-cycle writers, (e.g., Keynes 1936; and Mitchell 1927), the business cycle, or classical cycle, is characterized by long expansions in real aggregate economic activity, punctuated by sudden, infrequent, and violent contractions. These phenomenon summarize the so-called t ...
ECONOMICS AND ECONOMIC HISTORY
... dimensions; sectoral trends and history; Theory: Liberal and early revisionist perspectives; other radical alternative perspectives; Policy: Evolution of economic policies; Social policy in historical context; Policy, power and politics - economic policy challenges of the post-apartheid period: Econ ...
... dimensions; sectoral trends and history; Theory: Liberal and early revisionist perspectives; other radical alternative perspectives; Policy: Evolution of economic policies; Social policy in historical context; Policy, power and politics - economic policy challenges of the post-apartheid period: Econ ...
Section 4 FRQ Practice (College Board)
... marginal propensity to consume is 0.8 and the value of the recessionary gap is $300 billion. (i) If the government changes its spending without changing taxes to eliminate the recessionary gap, calculate the minimum required change in government spending. (ii) If the government changes taxes without ...
... marginal propensity to consume is 0.8 and the value of the recessionary gap is $300 billion. (i) If the government changes its spending without changing taxes to eliminate the recessionary gap, calculate the minimum required change in government spending. (ii) If the government changes taxes without ...
Latin American structuralism
... and includes a core analysis of property institutions (production relationships). His theory of economic value is one-dimensional, however. Under conditions of stable equilibrium, prices equate to value, which for Marx is a measure of the working time that is socially necessary given the average tec ...
... and includes a core analysis of property institutions (production relationships). His theory of economic value is one-dimensional, however. Under conditions of stable equilibrium, prices equate to value, which for Marx is a measure of the working time that is socially necessary given the average tec ...
Lecture 3b Fiscal Policy
... What fiscal policy is and what it is used for What discretionary fiscal policy is and its function About the economy’s built-in stabilizers What a cyclically adjusted budget is The problems, criticisms, and complications of fiscal policy ...
... What fiscal policy is and what it is used for What discretionary fiscal policy is and its function About the economy’s built-in stabilizers What a cyclically adjusted budget is The problems, criticisms, and complications of fiscal policy ...
the case against austerity today
... adjusted to stimulate activity without increasing debt at all. A clear example would be a temporary increase in government spending financed entirely by higher taxes. Obviously, this would leave the deficit unchanged. However, consumers would finance at least some (and possibly most) of the tax rise ...
... adjusted to stimulate activity without increasing debt at all. A clear example would be a temporary increase in government spending financed entirely by higher taxes. Obviously, this would leave the deficit unchanged. However, consumers would finance at least some (and possibly most) of the tax rise ...
Assessing Canadian Growth Sturdiness
... economy. Supporting this outlook are increasing signs of confidence in a number of surveys. Perhaps surprising, the balance of opinion around future investment in machinery and equipment ticked up to near all-time highs in the Bank of Canada’s most recent Business Outlook Survey (Chart 7). This may ...
... economy. Supporting this outlook are increasing signs of confidence in a number of surveys. Perhaps surprising, the balance of opinion around future investment in machinery and equipment ticked up to near all-time highs in the Bank of Canada’s most recent Business Outlook Survey (Chart 7). This may ...
6.6 Is Economic Growth Desirable and Sustainable?
... • The rest of Asia did not follow until the early to mid 1900s, at which time large parts of Central and South America as well as the Middle East also began to experience economic growth. • Africa for the most part did not experience sustained economic growth until the past 20 years • Some parts of ...
... • The rest of Asia did not follow until the early to mid 1900s, at which time large parts of Central and South America as well as the Middle East also began to experience economic growth. • Africa for the most part did not experience sustained economic growth until the past 20 years • Some parts of ...
Economists Predict GDP Growth Will Be Fastest Since Late 1999
... sharply from $52.5 billion a year ago. That trade gap is larger than the deficit with all of Western Europe. But some of China's gains appear to be coming at the expense of other trading partners in Asia. While the trade gap with China widened, the trade deficit with the rest of the Pacific Rim narr ...
... sharply from $52.5 billion a year ago. That trade gap is larger than the deficit with all of Western Europe. But some of China's gains appear to be coming at the expense of other trading partners in Asia. While the trade gap with China widened, the trade deficit with the rest of the Pacific Rim narr ...
Impact of the financial crisis on decentralisation processes
... GFC and advise on policy. Can Decentralisation make crises worse? Depending on how decentralisation is undertaken, it is possible that it might contribute to financial crises. Rodriguez-Pose and Gil (2005) argue that, in the few instances where there are not strict regulations for local government b ...
... GFC and advise on policy. Can Decentralisation make crises worse? Depending on how decentralisation is undertaken, it is possible that it might contribute to financial crises. Rodriguez-Pose and Gil (2005) argue that, in the few instances where there are not strict regulations for local government b ...
Why the New Economy is a learning economy
... confirmed later on (with much more detail and precision) by the Danish Ministry of Business and Industry (Ministry of Business and Industry, 1996, pp. 94-99). The alternative perspective indicated by Paul David’s analysis and the Danish studies points into a very different direction than the new eco ...
... confirmed later on (with much more detail and precision) by the Danish Ministry of Business and Industry (Ministry of Business and Industry, 1996, pp. 94-99). The alternative perspective indicated by Paul David’s analysis and the Danish studies points into a very different direction than the new eco ...
Chapter 5: Goods and Financial Markets: The IS
... Equilibrium in the goods market exists when production, Y, is equal to the demand for goods, Z. In the simple model developed in chapter 3, the interest rate did not affect the demand for goods. The equilibrium condition was given by: Y C(Y T ) I G ...
... Equilibrium in the goods market exists when production, Y, is equal to the demand for goods, Z. In the simple model developed in chapter 3, the interest rate did not affect the demand for goods. The equilibrium condition was given by: Y C(Y T ) I G ...
M01_ABEL4987_7E_IM_C01
... 4. Application: The growth of China a. China is an economic juggernaut (1) Population 1.4 billion people (2) Real GDP per capita is low but growing (Table 6.4) (3) Starting with low level of GDP, but growing rapidly (Fig. 6.10) b. Fast output growth attributable to (1) Huge increase in capital inves ...
... 4. Application: The growth of China a. China is an economic juggernaut (1) Population 1.4 billion people (2) Real GDP per capita is low but growing (Table 6.4) (3) Starting with low level of GDP, but growing rapidly (Fig. 6.10) b. Fast output growth attributable to (1) Huge increase in capital inves ...
A Keynesian Theory of the Long Run—With a Little Help From Marx
... outcomes depend on aggregate demand (Robinson 1966 [1956], 1962). The distributional issue remained central in these models. Bob Rowthorn (1982) formalized the argument that redistributing income from rich to poor would increase aggregate demand because the propensity to consume declines with income ...
... outcomes depend on aggregate demand (Robinson 1966 [1956], 1962). The distributional issue remained central in these models. Bob Rowthorn (1982) formalized the argument that redistributing income from rich to poor would increase aggregate demand because the propensity to consume declines with income ...
From tiger to PIIGS: Ireland and the use of heuristics in comparative
... brief experience of coordinated international reflation in response to the global financial crisis in 2008-2009, the dominant policy response advocated by all the main international lenders reverted to the economic orthodoxy of ‘expansionary fiscal contraction’, prioritizing deficit reduction and de ...
... brief experience of coordinated international reflation in response to the global financial crisis in 2008-2009, the dominant policy response advocated by all the main international lenders reverted to the economic orthodoxy of ‘expansionary fiscal contraction’, prioritizing deficit reduction and de ...