fiscal policy in an expectations driven liquidity trap
... deflationary shock is a taste shock affecting households preferences for current vs. future consumption. When a taste shock leads to an increase in desired savings, the central bank’s typical reaction is to cut nominal interest rates and discourage savings by inducing lower real interest rates. Howe ...
... deflationary shock is a taste shock affecting households preferences for current vs. future consumption. When a taste shock leads to an increase in desired savings, the central bank’s typical reaction is to cut nominal interest rates and discourage savings by inducing lower real interest rates. Howe ...
Growth and Change in the Vietnamese Labour Market:
... development plans aimed at speeding the country’s industrialisation, modernisation, and economic development over the period 2010 to 2020. The strategy notes that in the past education and training planning has not been well aligned with employment growth, resulting in significant mismatches between ...
... development plans aimed at speeding the country’s industrialisation, modernisation, and economic development over the period 2010 to 2020. The strategy notes that in the past education and training planning has not been well aligned with employment growth, resulting in significant mismatches between ...
The Horizontally s‐shaped laffer curve
... In the second definition, it is important to clarify the notion of non-financial assets. These include non-produced assets (e.g., land, subsoil, water resources) and produced assets: (i) tangibles, such as dwellings, other non-residential buildings and structures, machinery and equipment, and weapon ...
... In the second definition, it is important to clarify the notion of non-financial assets. These include non-produced assets (e.g., land, subsoil, water resources) and produced assets: (i) tangibles, such as dwellings, other non-residential buildings and structures, machinery and equipment, and weapon ...
What Does Measured FDI Actually Measure?
... of foreign exchange intervention, and assuming that the current account moves slowly, changes in gross inflows during the quarter must roughly equal changes in gross outflows for the foreign exchange market to clear. Thus, if FDI was literally the only source of gross inflows and gross outflows, the ...
... of foreign exchange intervention, and assuming that the current account moves slowly, changes in gross inflows during the quarter must roughly equal changes in gross outflows for the foreign exchange market to clear. Thus, if FDI was literally the only source of gross inflows and gross outflows, the ...
Francesco Caprioli Optimal Fiscal Policy, Limited Commitment and Learning
... None of these two assumptions seems very realistic. Governments may be unable to make binding commitments to future policies: this problem is particular relevant in open economy models, where countries can find optimal not to repay their external debt. The Russian and Ecuadorian crises in 1999 and t ...
... None of these two assumptions seems very realistic. Governments may be unable to make binding commitments to future policies: this problem is particular relevant in open economy models, where countries can find optimal not to repay their external debt. The Russian and Ecuadorian crises in 1999 and t ...
Macroeconomics: A Growth Theory Approach
... organized as corporations, (iv) the net interest paid by firms to lenders and (v) the rent paid by firms or individuals for using capital (e.g. using a building or using machinery for a period of time). All of these items are contained in the National Income component of GDP. One important leakage i ...
... organized as corporations, (iv) the net interest paid by firms to lenders and (v) the rent paid by firms or individuals for using capital (e.g. using a building or using machinery for a period of time). All of these items are contained in the National Income component of GDP. One important leakage i ...
Full-text
... and dividend payment behavior is very similar to the one observed in the developed countries, and specifically in US. The factors, which have the most significant influence on determining the dividend payments, are profitability, market to book ratio, sales growth and amount of debt [3]. Besides, Ai ...
... and dividend payment behavior is very similar to the one observed in the developed countries, and specifically in US. The factors, which have the most significant influence on determining the dividend payments, are profitability, market to book ratio, sales growth and amount of debt [3]. Besides, Ai ...
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... of insufficient tightening of fiscal policy in upswings are repeated, which will have grave consequences in the next downturn. We recommend that the current cyclical upswing be used for larger fiscal consolidation than is now occurring. ...
... of insufficient tightening of fiscal policy in upswings are repeated, which will have grave consequences in the next downturn. We recommend that the current cyclical upswing be used for larger fiscal consolidation than is now occurring. ...
1. Macroeconomic developments across the euro area
... As a whole, investment spending has remained roughly constant as a share of euro-area GDP, around 20-21%, with some cyclical swings, including a trough in 1993 at 19.8%, and a peak in 2000 at 21.4%. In the current recovery, the investment ratio has improved slightly from 20.6% in 2002 to 20.9% in 20 ...
... As a whole, investment spending has remained roughly constant as a share of euro-area GDP, around 20-21%, with some cyclical swings, including a trough in 1993 at 19.8%, and a peak in 2000 at 21.4%. In the current recovery, the investment ratio has improved slightly from 20.6% in 2002 to 20.9% in 20 ...
B g
... The Standard View of a Budget Deficit a deficit-financed tax cut makes households feel wealthier, ...
... The Standard View of a Budget Deficit a deficit-financed tax cut makes households feel wealthier, ...
APPENDIX D TO CHAPTER 10 The Self
... exports. Regardless of the cause, the short-run effect is for the economy to move upward along SRAS100 to the intersection with AD2 at the temporary or short-run equilibrium point E2 with a price level of 150. Recall that nominal incomes in the short run are fixed. Faced with higher demand, firms ra ...
... exports. Regardless of the cause, the short-run effect is for the economy to move upward along SRAS100 to the intersection with AD2 at the temporary or short-run equilibrium point E2 with a price level of 150. Recall that nominal incomes in the short run are fixed. Faced with higher demand, firms ra ...
Preliminary version, August 2002. Comments are welcome
... 0.2573. We then compute one, two and three standard deviations around this average. These values are shown as gridlines in the figures. Finally, we compute the average value of the coefficients on country dummies for various geographical regions of the world, using the IMF’s regional classification, ...
... 0.2573. We then compute one, two and three standard deviations around this average. These values are shown as gridlines in the figures. Finally, we compute the average value of the coefficients on country dummies for various geographical regions of the world, using the IMF’s regional classification, ...
Asset Pricing with Idiosyncratic Risk and Overlapping Generations
... that individuals face idiosyncratic risks and are unable to insure against them, and that this affects the way they value financial assets. The plausibility of this story seems apparent. Non-financial wealth — human wealth in particular — is larger than financial wealth and is subject to substantial ...
... that individuals face idiosyncratic risks and are unable to insure against them, and that this affects the way they value financial assets. The plausibility of this story seems apparent. Non-financial wealth — human wealth in particular — is larger than financial wealth and is subject to substantial ...
Debt, Recovery Rates and the Greek Dilemma - Eureka
... possibility of default is micro-founded on the moral hazard relationship problem between debtors and creditors. If debtors default, they incur a welfare cost in renegotiations proportional to the scale of default. This cost effectively creates a borrowing constraint and stems from Shubik and Wilson ...
... possibility of default is micro-founded on the moral hazard relationship problem between debtors and creditors. If debtors default, they incur a welfare cost in renegotiations proportional to the scale of default. This cost effectively creates a borrowing constraint and stems from Shubik and Wilson ...
Remittances and Household Welfare: A Case Study of
... crisis, however, has slowed down growth in the countries importing labor from developing Asia, reducing their hiring and leading to job protection for local workers over imported labor. This has placed migration and remittance flows at risk, dealing a significant blow to poverty reduction in labor-s ...
... crisis, however, has slowed down growth in the countries importing labor from developing Asia, reducing their hiring and leading to job protection for local workers over imported labor. This has placed migration and remittance flows at risk, dealing a significant blow to poverty reduction in labor-s ...
Dynamic Fiscal Policy - University of Pennsylvania
... As an open economy, the US trades goods and services with the rest of the world. Exports (X) are deliveries of US goods and services to the rest of the world, imports (M ) are deliveries of goods and services from other countries of the world to the US. The quantity (X M ) is also referred to as net ...
... As an open economy, the US trades goods and services with the rest of the world. Exports (X) are deliveries of US goods and services to the rest of the world, imports (M ) are deliveries of goods and services from other countries of the world to the US. The quantity (X M ) is also referred to as net ...
Chapter 18 review
... not increase with the population. Suppose a less developed country has experienced four decades of central planning, a corrupt government, and years of civil war. What effect would this experience have on the nation’s development? a. It would limit or possibly reduce the nation’s development. b. It ...
... not increase with the population. Suppose a less developed country has experienced four decades of central planning, a corrupt government, and years of civil war. What effect would this experience have on the nation’s development? a. It would limit or possibly reduce the nation’s development. b. It ...
- TestbankU
... conditions in each market. As funds leave a country with low interest rates, this places upward pressure on that country’s interest rates. The international flow of funds caused this type of reaction. 14. Impact of War. A war tends to cause significant reactions in financial markets. Why would a war ...
... conditions in each market. As funds leave a country with low interest rates, this places upward pressure on that country’s interest rates. The international flow of funds caused this type of reaction. 14. Impact of War. A war tends to cause significant reactions in financial markets. Why would a war ...
comparative analysis of functional food producers` profitability in
... in the analysis of the operating profit ratio which reflects the company’s core business profitability without taking financing and tax effects into consideration. However, it can also be noticed that the operating profit margin appears to be only slightly higher in 2013 than in 2012. The net profit ...
... in the analysis of the operating profit ratio which reflects the company’s core business profitability without taking financing and tax effects into consideration. However, it can also be noticed that the operating profit margin appears to be only slightly higher in 2013 than in 2012. The net profit ...
NBER WORKING PAPER SERIES TAX MULTIPLIERS: PITFALLS IN MEASUREMENT AND IDENTIFICATION Daniel Riera-Crichton
... 2. Another strand of the literature has developed around the so-called natural experiment approach. This identi cation strategy assumes that some exogenous changes in scal policy are, in fact, observable. On the spending side, studies have typically focused on particular spending categories, suc ...
... 2. Another strand of the literature has developed around the so-called natural experiment approach. This identi cation strategy assumes that some exogenous changes in scal policy are, in fact, observable. On the spending side, studies have typically focused on particular spending categories, suc ...
TAX POLICY AND ECONOMIC GROWTH*
... Musgrave, 1988). The propensity to save also varies during a life cycle: in youth and in old age it is much lower than in middle age when income is highest and when people save for education of their kids, for a house or a flat and for the old age. Income tax also affects savings by lowering the net ...
... Musgrave, 1988). The propensity to save also varies during a life cycle: in youth and in old age it is much lower than in middle age when income is highest and when people save for education of their kids, for a house or a flat and for the old age. Income tax also affects savings by lowering the net ...
Public Investment in Resource Abundant Low
... non-invested revenue plus any increase in non-resource tax revenues is accumulated in an external “investment fund,”which is then drawn on once the resource revenue dries up. In addition, provided the sustained (or long-term) increase in public capital is not too large relative to the windfall, the ...
... non-invested revenue plus any increase in non-resource tax revenues is accumulated in an external “investment fund,”which is then drawn on once the resource revenue dries up. In addition, provided the sustained (or long-term) increase in public capital is not too large relative to the windfall, the ...
Is Uganda`s Growth Profile Jobless? Edward Bbaale School of
... The role of employment in poverty reduction and welfare improvements cannot be underscored given that unemployment and underemployment are major causes and consequences of widespread poverty (Sodipe et al., 2011). Full, productive and decent employment is the most important source of income security ...
... The role of employment in poverty reduction and welfare improvements cannot be underscored given that unemployment and underemployment are major causes and consequences of widespread poverty (Sodipe et al., 2011). Full, productive and decent employment is the most important source of income security ...
Chapter 4 D : M
... receipts and revenue expenditure contributed to the surge in revenue deficit. In relation to GDP, revenue deficit increased from an average of 2.8 per cent of GDP during the VIII Plan (1992-1997) to 3.64 per cent in 2003-04. The average annual rate of shift in the share of revenue deficit to GDP was ...
... receipts and revenue expenditure contributed to the surge in revenue deficit. In relation to GDP, revenue deficit increased from an average of 2.8 per cent of GDP during the VIII Plan (1992-1997) to 3.64 per cent in 2003-04. The average annual rate of shift in the share of revenue deficit to GDP was ...