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the benefit system - Ministry of Social Development
the benefit system - Ministry of Social Development

... The varying fates of different national economies during the past two decades of general economic slowdown also give material for thought. Some managed a respectable 2 or 3% plus trend, perhaps more in line with longer-term growth potential than were the more spectacular figures achieved during the ...
lesson 3
lesson 3

... 5. In 1980, the unemployment rate was no lower than it had been in 1960, but inflation was much higher. Between 1980 and 1982, the economy experienced a recession and unemployment rose. Explain the general effect of a recession on unemployment and inflation. Then explain why the recession of 1980-82 ...
PDF of this report - Center on Budget and Policy Priorities
PDF of this report - Center on Budget and Policy Priorities

... year, it could spend only what it earned that year, which would preclude important investments that could raise its future income and well-being. The family couldn’t even spend amounts it had saved in prior years, as even that would constitute “deficit spending.” Similarly, while states must balance ...
Limitations of the Aggregate Expenditures Model
Limitations of the Aggregate Expenditures Model

... Limitations of the Aggregate Expenditures Model ...
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... did not suffer significant investment losses from the stock market declining in value – Investment income at the end of 2008 was approximately 2.7 Million which is down 36.6% from the year prior ...
Chapter 17 homework - Mr. Sadow`s History Class Website
Chapter 17 homework - Mr. Sadow`s History Class Website

... 4. How do you calculate the annual growth rate of real GDP per capita? What does the rate indicate? Give an example using any numbers you want. 5. Define short-run (SR) economic growth rate. Define long-run (LR) economic growth rate. What are the three best ways to enhance a country’s LR economic gr ...
w05ex3 - Rose
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... B. The SRAS will shift to the right, causing the price level to decrease and real GDP to increase as the economy experiences an inflationary gap. C. The AD curve will shift to the right, causing both the price level and real GDP to increase as the economy experiences an inflationary gap. D. The AD c ...
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... which is conservatively invested in fixed-income securities with an average rating of AA and bank holdings. Basically, about 30% of deposits from the public is allocated as liquidity and 70% is used to finance lending. All bank holdings in the liquidity portfolio are accessible and all securities ar ...
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... decades; look at stylised facts of tax revenues, their dynamics, and tax policies • The decline in consolidated budget revenues in the 90s: • a “disorganisation effect” due to economic regime change • shrinking of the tax base; number of employees fell by 35% over ’89-’98 • tax rate cuts, adjustment ...
B-Inflation
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... • This process is only a one-time rise in P. For inflation to proceed, AD must persistently increase. • At this stage two actions may occur simultaneously: (1) Government wants to achieve a specific target of high employment (and high production) so it will increase G, Qm or decrease taxes, and (2) ...
GLOBAL IMBALANCES: PAST, PRESENT, AND FUTURE Olivier
GLOBAL IMBALANCES: PAST, PRESENT, AND FUTURE Olivier

... prospects in the U.S., especially relative to Japan and emerging Asia, which attracted significant FDI and portfolio equity flows. The period 1996-2000 was characterized by fast world growth—despite the Asian crisis, the Russian crisis, and the financial turbulence following the collapse of LTCM— an ...
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NBER WORKING PAPER SERIES GOVERNMENT SPENDING, INTEREST RATES, PRICES, AND BUDGET DEFICITS

... 4The data on military expenditure are from Mitchell and Deane (1962, pp. 390—91, 396—99). The figures combine the items for army, navy and ordnance, and for expenditures on special expeditions and votes of credit. The dating of expenditures refers to disbursements rather than orders (see Benjamin an ...
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IGR 2010: challenges and priorities for Australia

... adjustments made now can reduce the need for larger adjustments later. Over a longer time period, ageing of the population will still contribute to pressure on government spending and fiscal sustainability. The IGR projects total spending to increase to 27.1 per cent of GDP in 2049-50, around 4¾ per ...
Practice Test 2 - Dasha Safonova
Practice Test 2 - Dasha Safonova

... 23. The multiplier effect exists because a change in autonomous expenditure A. leaves the economy in the form of imports. B. prompts further exports. C. leads to changes in income, which generate further spending. D. will undergo its complete effect in one round. 24. M2 is A. smaller than M1. B. eq ...
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... Financial statement creation is a meaningless exercise if the users of the financial statements do not know what the financial statements represent and how to analyze them. Your intermediate accounting textbook, to this point, has focused primarily on various accounting treatments and how they flow ...
GLOBAL AGING - RAND Corporation
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... capital and goods from the faster to the slower aging countries. On a microeconomic level, the age composition of the labor force will change which might affect labor productivity. Consumption and savings patterns are likely to alter when the elderly become a larger proportion of consumers and saver ...
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... • We see big differences in average realized returns across assets over the last 80 years • But risk also differed – How can we evaluate risk? ...
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... stabilize or reduce the debt-to-GDP ratio. We look at two scenarios presented by CBO, one which would stabilize federal debt at its current level of 77 percent of GDP and one in which the debt is reduced to the 50-year average of 40 percent of GDP. In both cases, we explore the magnitude of the tax ...
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... international location decision of a company is part of a more general set of decisions directed at the company’s international activities involving export, import, location, as well as production decisions (see Markusen, 1995, for a survey). Each of these decisions is affected by the characteristics ...
Ch. 14
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... Taylor explained the behavior of the Fed as a reaction to output gap and inflation. If there is a positive, recessionary output gap, the Fed wants to stimulate the economy. If there is a negative, expansionary gap, the Fed wants to slow down the economy. The Fed also reacts to higher inflation by ra ...
An Introduction to Investment
An Introduction to Investment

... A dollar of government spending can lead to more than a dollar of economic activity because it can stimulate spending by consumers (who plan to consume the fraction b of that dollar (net of taxes)). Assumptions needed for the multiplier to hold: Y needs to be well below Y* (resources have to be sitt ...
Y - The University of Chicago Booth School of Business
Y - The University of Chicago Booth School of Business

... A dollar of government spending can lead to more than a dollar of economic activity because it can stimulate spending by consumers (who plan to consume the fraction b of that dollar (net of taxes)). Assumptions needed for the multiplier to hold: Y needs to be well below Y* (resources have to be sitt ...
Time
Time

... used for comparisons of pre-World War I with postWorld War II cycles are excessively volatile because they were derived from data on the output of commodities (pig iron, coal, oil, wheat) . Most assumed that there was a one-to-one correspondence between output changes in these highly volatile indust ...
Document
Document

... Interest rates might rise. The large federal deficits require the Treasury to issue more bonds; thus the supply of bonds increases. The supply curve, Bs, shifts to the right and the equilibrium interest rate rises. Some economists believe that when the Treasury issues more bonds, the demand for bond ...
- International Growth Centre
- International Growth Centre

... switch from the current discretionary fiscal policy to rules based fiscal policy could have substantial effect on exchange rate and price stability in Ghana. Additionally, whether positive demand shocks such as an increase in deficit spending will depreciate the real exchange rate depend crucially o ...
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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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