03 Jun Question module 3 case study Macro-economic choices, particularly in
Question
module 3 case study
Macro-economic choices, particularly in the areas of fiscal policy, are not just about economics but about political philosophies, values and goals. This Case asks you to think about some of these dimensions.
1. Do all government purchases have the same effect on aggregate demand? Defend your answer with economic reasoning.
2. Suppose a country increases government purchases by $100 billion. Suppose the multiplier is 1.5 and the economy’s real GDP is $5,000 billion.
a. In which direction will the aggregate demand curve shift and by how much?
b. Why is the change in real GDP is likely to be smaller than the shift in the aggregate demand curve?
3. Read the Case in Point: Crowding Out in Canada in Section 12.3 (click here) and answer the following:
a. What is “crowding out,” and how does it reduce private investment?
b. Given that only certain types of government expenditures crowded out private investment, what are the implications for fiscal policy choices?
Case assignment expectations:
Use information from the modular background readings as well as any good quality resource you can find. Make sure you cite all resources you use and provide a reference list at the end of your paper.
LENGTH: 4 typed and double-spaced pages.
In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:
1. Analytical skills that allow you to draw conclusions, questions 3,4 and 5 on federal budget projections.
2. Critical thinking skills, question 5, on formulating policy about budgetary matters.
module 4 case study
Money supply and interest rates are important to individuals and businesses making decisions to finance purchases. The following articles assess conditions for financing purchases and important aspects of monetary policy. Read both and respond to the four questions in a 4 to 5 page report.
1. The Federal Reserve policy makers use several different tools to influence the money supply and interest rates. Identify and briefly describe these tools. Include in your answer the difference between expansionary and contractionary monetary policies.
2. Define and explain the three lags discussed in monetary policy. For each type identify a problem caused by the lag.
3. If the economy is operating below its potential output, what kind of gap exists? What kinds of fiscal or monetary policies might you use to close this gap? Can you think of any objecti
Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.
About Writedemy
We are a professional paper writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework. We offer HIGH QUALITY & PLAGIARISM FREE Papers.
How It Works
To make an Order you only need to click on “Order Now” and we will direct you to our Order Page. Fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Are there Discounts?
All new clients are eligible for 20% off in their first Order. Our payment method is safe and secure.