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Course outline
Course outline

... This course introduces to the main concepts and analytical tools used in Debt Analysis and Debt Sustainability Analysis as performed at international organizations such as the IMF and the EC. All the analytical tools discussed have a straight empirical application which yields many of the fiscal ind ...
Insert title here
Insert title here

... To cover deficit spending the government sells bonds. Every dollar spent on a government bond is one fewer dollar that is available for businesses to borrow and invest. This encroachment on investment in the private sector is known as the crowding-out effect. ...
Lecture 4
Lecture 4

... • When the stock market booms, households become wealthier and this stimulates consumer spending. • Rising share prices also make it more attractive for firms to issue new shares and this facilitates increased investment spending. • Central banks can offset these expansionary effects on aggregate de ...
On the Proper Size of the Public Sector and the Level of
On the Proper Size of the Public Sector and the Level of

John Keynes
John Keynes

... economics • Keynes claims that classical economics are applicable to only special cases, which “happen not to be those of the economic society in which we actually live” ...
34 - CERGE-EI
34 - CERGE-EI

... • When the stock market booms, households become wealthier and this stimulates consumer spending. • Rising share prices also make it more attractive for firms to issue new shares and this facilitates increased investment spending. • Central banks can offset these expansionary effects on aggregate de ...
The Influence of Monetary and Fiscal Policy on Aggregate
The Influence of Monetary and Fiscal Policy on Aggregate

... • When the stock market booms, households become wealthier and this stimulates consumer spending. • Rising share prices also make it more attractive for firms to issue new shares and this facilitates increased investment spending. • Central banks can offset these expansionary effects on aggregate de ...
ST. PAUL`S UNIVERSITY, DECEMBER EXAM SERIES
ST. PAUL`S UNIVERSITY, DECEMBER EXAM SERIES

... Question No. 10 ...
Inflation & Growth
Inflation & Growth

... ensure that desired growth does not exceed the productive capacity of the economy. ...
Ambulance Economics: The Pros and Cons of Fiscal Stimuli (2009)
Ambulance Economics: The Pros and Cons of Fiscal Stimuli (2009)

... made possible. The extra economic cost consists only of the administrative and possible distortion costs (such as disincentive costs if based on income tax) of extra taxation. One might also add a political or “perception” cost. Taxpayers will forget that they owe their extra financial assets to the ...
An Introduction to Investment
An Introduction to Investment

... government hires a worker to build a road, it will put money in that workers pocket. If that person was liquidity constrained before, they will spend that money at your store putting money in your pocket (and so on)). A dollar of government spending can lead to more than a dollar of economic activit ...
Y - The University of Chicago Booth School of Business
Y - The University of Chicago Booth School of Business

... government hires a worker to build a road, it will put money in that workers pocket. If that person was liquidity constrained before, they will spend that money at your store putting money in your pocket (and so on)). A dollar of government spending can lead to more than a dollar of economic activit ...
Fiscal policy considerations in the design of monetary policy
Fiscal policy considerations in the design of monetary policy

... Inflation targeting in Peru, as described in Rossini et al. (2011), gives special consideration to financial stability, given the weakness associated with financial dollarization (see Figure 5). Therefore, additional instruments, like reserve requirements, are used to avoid significant swings in ban ...
Problem Set 1
Problem Set 1

Macro1 Exercise #4
Macro1 Exercise #4

... Open the Macro1 module. You will see a table called “State of the Macroeconomy”. Select “Inflation” and click “Continue”. You will see a table called “Initial Conditions: “Inflation”. Print out this table for future reference. Click “Continue”. You will see a table entitled, “Macro Policy Tools”. Ot ...
Money Growth and Inflation
Money Growth and Inflation

... The  money  supply  curve  is  vertical,  as  the  money  stock  is  determined  by  Federal  Reserve  policy   (and  by  the  response  of  banks  to  that  policy).   The  goods  price  of  money  1/P  is  determined  by  the  i ...
The Great Depression and the Beginning of Keynesian Economics
The Great Depression and the Beginning of Keynesian Economics

... why did the Great Depression persist for so long? The most famous cause of the Great Depression was the stock market crash of October of 1929. The stock market has crashed many times in its history. In fact, the greatest one-day crash occurred in October of 1987. But these other crashes were quickly ...
Mankiw 6e PowerPoints
Mankiw 6e PowerPoints

... a way that changes the fundamental relationships between variables. ...
Description on economic indicators
Description on economic indicators

... economy, covering nine economic categories. Here are the three main components of the report: Payroll Employment: Measures the change in number of workers in a given month and measures the number of jobs in more than 500 industries (ex-farming) in all states and 255 metropolitan areas. The employmen ...
What We Still Don`t Know about Monetary and Fiscal Policy
What We Still Don`t Know about Monetary and Fiscal Policy

... a difference between saying that private sector agents (in this case banks and other investors) are price takers in some market and saying that they take whatever price they are given without adjusting their portfolios accordingly. This explanation is also inconsistent with the fact that, from time ...
Loanable Funds Market
Loanable Funds Market

... 6. Although many small and moderate-size borrowers use bank loans to fund investment spending, larger companies typically issue bonds. Bonds with a higher risk of default must typically pay a higher interest rate. Business owners reduce their risk by selling stock. Although stocks usually generate a ...
1 The Price of Truth: Gift, Money, and Philosophy. By Marcel Hénaff
1 The Price of Truth: Gift, Money, and Philosophy. By Marcel Hénaff

... wisdom. Could we impute commercial value and thus define gift relations in terms of quantifiable debt? The author argues that ritual gift exchange takes on less socially visible forms. The realm of gift exchange has not been eliminated by modern monetary relations; it remains fundamental together wi ...
Lecture 16
Lecture 16

... A simple rule, is something like: Conduct open market operations so that M1 grows by five percent per year. Another way of stating this rule is: Adopt a long-term policy for the money supply. If it turns out that aggregate demand and aggregate supply are not in balance, wait for the normal adjustmen ...
Sticking to the script
Sticking to the script

... attach nearly 90% odds to a Fed rate hike in June. We think that interpretation is correct and expect official rates will be raised for the third time in six months at the upcoming meeting. Minutes of the Fed’s May confab indicated most participants thought another rate increase would “soon be appro ...
Bank Failure and Economic Development in Nigeria
Bank Failure and Economic Development in Nigeria

... Chang and Velasco (1999) also argued that bank run could be triggered when the demand deposits and foreign short-term debt exceeds bank liquidation value. They developed theoretical model of the financial sector illiquidity for an open economy which major on capital inflow and external debt financin ...
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Modern Monetary Theory

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