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The Great Recession versus the Great Depression: Stylized Facts on
The Great Recession versus the Great Depression: Stylized Facts on

... Great Depression and the unemployment rate reached 20% in 1932. This time it increased by three percentage points if we include the further rise predicted for 2010 (to an unemployment rate of 9% in the unweighted average of the ten countries). ...
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... If real GDP is below potential GDP, the government might use discretionary fiscal policy in an attempt to ...
The Great Recession versus the Great Depression
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... Great Depression and the unemployment rate reached 20% in 1932. This time it increased by three percentage points if we include the further rise predicted for 2010 (to an unemployment rate of 9% in the unweighted average of the ten countries). ...
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... necessarily an impediment to efficient domestic macroeconomic performance. Changes in the expected appreciation or a depreciation of the exchange rate along with differentials between real interest rates in the two countries can permit macroeconomic performance in one country to be relatively indepe ...
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... modifying their expectations. On the other hand, the share of taxes in GDP rose from 14% in 1923 to 17% in 1926, a jump that compensated for the loss in reparations and allowed the stabilization to take place (A and B bonds from the 1921 settlement imposed a yearly payment of 3 billion gold RM, of w ...
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... This document analyzes public sector deficits in Latin America, with particular attention to the case of Colombia. These deficits usually arise from political rigidities in the tax structure, which impedes taxing personal income & wealth at adequate levels or to adopt “universal and homogenous” VAT ...
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... Strains social fabric: Con‡ict might result, because each group in the society may compete with other groups to make sure that its income keeps up with the rising level of prices. Other Goals of Monetary Policy – High employment – Economic growth – Stability of …nancial markets – Interest-rate stabi ...
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... of the capital goods it already has. So for example, Microsoft spends millions of dollars to develop a software product. But once it is developed, the cost of making one more copy is just pennies.). In some cases, an industry in which capital goods require a great amount of money will evolve to one ...
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... How much GDP would 650,000 people produce? In 2009, each employed person produced $100,000 of real GDP on average. So 650,000 people would produce $65 billion of GDP. But only 20 percent of the $787 billion stimulus package had been spent (or taken in tax breaks), so the stimulus was only about $160 ...
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... and consume more than they earn. Mature households have higher incomes and save for their old age; their consumption is less than their current income. Old households live off their savings, consuming again in excess of their income. If people were basing their consumption and saving decisions on cu ...
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... We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the Pharr-San Juan-Alamo Independent School District ("the District") as of and for the year ended August 31, 2015, and ...
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Pensions crisis

The pensions crisis is a predicted difficulty in paying for corporate, state, and federal pensions in the United States and Europe, due to a difference between pension obligations and the resources set aside to fund them. Shifting demographics are causing a lower ratio of workers per retiree; contributing factors include retirees living longer (increasing the relative number of retirees), and lower birth rates (decreasing the relative number of workers, especially relative to the Post-WW2 Baby Boom). There is significant debate regarding the magnitude and importance of the problem, as well as the solutions.For example, as of 2008, the estimates for the underfunding of U.S. states' pension programs range from $1 trillion using the discount rate of 8% to $3.23 trillion using U.S. Treasury bond yields as the discount rate. The present value of unfunded obligations under Social Security as of August 2010 was approximately $5.4 trillion. In other words, this amount would have to be set aside today such that the principal and interest would cover the program's shortfall between tax revenues and payouts over the next 75 years.Some economists question the concept of funding, and, therefore underfunding. Storing funds by governments, in the form of fiat currencies, is the functional equivalent of storing a collection of their own IOUs. They will be equally inflationary to newly written ones when they do come to be used.Reform ideas are in three primary categories: a) Addressing the worker-retiree ratio, via raising the retirement age, employment policy and immigration policy; b) Reducing obligations via shifting from defined benefit to defined contribution pension types and reducing future payment amounts (by, for example, adjusting the formula that determines the level of benefits); and c) Increasing resources to fund pensions via increasing contribution rates and raising taxes.
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