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May 2010 - GIA Partners, LLC
May 2010 - GIA Partners, LLC

... budget deficit near 10% of GDP, we will have a debt to GDP ratio near 100%. While the U.S. government does not fund in foreign currencies, it does rely on foreign sources for much of its borrowing. Once government’s share of the economy becomes too large, it becomes socially and politically difficul ...
Raffles Junior College
Raffles Junior College

... S-side policy refers to measures intended to boost Aggregate Supply rather than Aggregate Demand. Evidence of this can be seen in the components of the Resilience Package eg enhancing business cash-flow and competitiveness via stimulating bank lending and announcing corporate tax cuts from 2010 and ...
Document
Document

... • The monetary policy is the act of regulating the money supply by the Federal Reserve Board of Governors. One of the main responsibilities of the Federal Reserve System is to regulate the money supply so as to keep production, prices, and employment stable. • The "Fed" has three tools to manipulate ...
KOF 2009 Swiss economic forecast
KOF 2009 Swiss economic forecast

... and will therefore provide a certain stability are those that are not very reactive to the economic situation, like education and health care. Switzerland’s currently vigorous private consumption will continue to support positive GDP growth rates, but it cannot prevent the forecast decline, merely s ...
Document
Document

... ceiling and multiple targets, was severely tested in the recession and has been partially suspended. According to OECD and also to NAOF to restore sustainability Finland should show the same resolve as after the 1990s crisis: - a fiscal consolidation plan should be announced as soon as possible - in ...
US Election one week on: will President Trump`s administration be
US Election one week on: will President Trump`s administration be

... Like Trump, Reagan also set out to increase defence spending. Defence spending rose from 4.9% to 5.8% of GDP. In most of the Reagan years, military spending was about 6% of GDP. During Reagan’s first term, real GDP growth soared to over 7% year on year following the 1982 recession, before slowing to ...
Gross Domestic Product GDP
Gross Domestic Product GDP

... • Gross Domestic Product – Dollar value of all goods and services produced within a country’s border in a given year – Measures a country’s well-being ...
10th American History - Waverly
10th American History - Waverly

... commerce, finance, and industry, characterized by falling prices, restriction of credit, low output and investment, many bankruptcies, and a high level of unemployment (many people without jobs). The last depression in the United States was from May 1937 to June 1938, where real GDP declined by 18.2 ...
Preview Sample 2
Preview Sample 2

... point (the beginning of a recession or the beginning of an expansion), the movements in the index are more reliable than the movement in any one of its components. Among the most reliable of the leading indicators is an index of prices for 500 common stocks. Investors will want to buy stock shares w ...
TEST I - Steve Kyle`s
TEST I - Steve Kyle`s

... no current threat to the economy. That's a main reason why Fed policy-makers have had leeway to leave short-term interest rates at a 45-year low of 1 percent and why they can afford to be patient in ordering future rate increases… 1. Despite the Fed’s most recent decision, raising interest rates is ...
Incl. also international appendices
Incl. also international appendices

...  big enough to have persuaded the NBER BCDC in our April 8 meeting to wait longer before declaring the 2009 trough. ...
GDP
GDP

...  Determine how we are doing and where we are going  Make political decisions  Helps government decide what should be done  Increase ...
Fourth Quarter 2012 Commentary
Fourth Quarter 2012 Commentary

... do excessive damage to the economy. The challenge is made even more difficult by 1) current high debt levels, 2) the impact of millions of retiring baby boomers and the resulting demands on entitlements for seniors, and 3) the high rate of health care inflation which impacts Medicare and Medicaid. ( ...
Slide 1
Slide 1

... Contraction—business slowdown aka recession Recession is a decline in real GDP for 2 or more consecutive quarters Trough—when demand, production and employment reach their lowest levels (1933) ...
Aggregate Supply & Demand
Aggregate Supply & Demand

... Most important model in AP Macro ...
Real Business Cycles
Real Business Cycles

... The most recent recession is officially dated from March 2001 to November ...
Chapter 30 Key Question Solutions
Chapter 30 Key Question Solutions

... MPC) of a tax cut will be spent. So .8 x tax cut = $5 billion or tax cut = $6.25 billion. Part of the tax reduction ($1.25 billion) is saved, not spent. One combination: a $1 billion increase in government spending and a $5 billion tax cut. Alternatively, one could raise both government spending and ...
Measuring Economic Performance
Measuring Economic Performance

... business cycle is a period of economic expansion followed by a period of economic contraction  These are not minor ups and downs – they are major changes to GDP  There are typically 4 phases of a business ...
Bahamas_en.pdf
Bahamas_en.pdf

... Monetary policy remained neutral in 2013, as the central bank left its policy discount rate unchanged. In weighing up the risks to the economy, the bank noted that external reserves were sufficient to defend the fixed exchange rate. The weak recovery, combined with high unemployment and mounting pri ...
FRBSF  L CONOMIC
FRBSF L CONOMIC

... management capability; earnings; liquidity; and sensitivity to market risk. Many of the 12th District’s banks have seen improvement in all of these areas over the past few years. Banks are generally better capitalized, with more liquid assets; earnings have improved; and new loans have increased whi ...
ECONOMICS why study it?
ECONOMICS why study it?

... begin when unemployment rate is above the natural rate of unemployment. In fact, the natural rate of unemployment is defined as the rate of unemployment at which the inflation rate remains constant. Another way of defining the natural rate of unemployment is to simply tie it to the level of real GDP ...
Economic Barometer
Economic Barometer

... willing to sacrifice yield to hold such debt. This can be seen in the chart below, which presents an estimate of the term premium embedded in the ten-year Treasury note—the amount of yield required by investors to hold such price-sensitive debt over and above the expected average of short-term inter ...
slow recovery - Stanford University
slow recovery - Stanford University

... term interest rates are already at the zero lower bound and with expected inflation also low, real interest rates cannot be reduced enough to stimulate investment. As a result the economy stagnates. The Fed’s only possible policy responses are such actions as quantitative easing and forward guidance ...
Macro2 Problem #3key
Macro2 Problem #3key

... The two results are different because crowding out. The increase in government spending started to increase real GDP. However, as real income rose so did the demand for money, and with a constant real money supply interest rates, real and nominal, rose. The increase in the real interest rate discour ...
Macro Brew “Top-heavy was the ship as a dinnerless student with all
Macro Brew “Top-heavy was the ship as a dinnerless student with all

... Fed QE tapering, US interest rates, the strong dollar, weakening Chinese PMI, declining oil prices, ISIS, Russia, Ebola, or when the ECB will embark on its own version of QE. Where’s the capital formation? Where’s the sustainable wealth creation? It used to be seen as an oversimplification to link t ...
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Recession

In economics, a recession is a business cycle contraction. It is a general slowdown in economic activity. Macroeconomic indicators such as GDP (gross domestic product), investment spending, capacity utilization, household income, business profits, and inflation fall, while bankruptcies and the unemployment rate rise.Recessions generally occur when there is a widespread drop in spending (an adverse demand shock). This may be triggered by various events, such as a financial crisis, an external trade shock, an adverse supply shock or the bursting of an economic bubble. Governments usually respond to recessions by adopting expansionary macroeconomic policies, such as increasing money supply, increasing government spending and decreasing taxation.
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