explain the effect of the crisis 2007-2009 on USA government's budget in long run?

Q: The GDP must grow by at least $60 billion in order to achieve the target growth rate. The country is…

A: The gross domestic product(GDP) refers to the market value of all the final commodities(goods and…

Q: Question: State the macroeconomic effects of budget deficit

A: Macroeconomy is that part of economics that deals with the economy as a whole. It covers the…

Q: a. Calculate the budget deficit in cach ycar by completing column 4. b. Calculate the primary budget…

A: As it is not mentioned that which questions are to be answered, so the answer of first two subparts…

Q: Fiscal policy is spending and taxation of the executive branch of the federal government; in…

A: Fiscal policy is the use of taxation and spending to influence the economy. It determines how much…

Q: Bldentify the impact that each of the following changes in fiscal policy woula have on the level of…

A: The fiscal policy refers to the government policy of expenditure and taxes. The change in government…

Q: Explain the role of the Presidency and the Congress in the budget proces

A: A budget process refers to the mechanism by which a budget is generated and approved by government.

Q: increased by $5 billion, $6 billion in bondS were sold to the public, an unused military base was…

A: We know that                           Budget Surplus = Total Expenditure < Total Receipts…

Q: Suppose that you are a member of the Council of Economic Advisers. The president has asked you to…

A: The COVID-19 has contributed to worsening economic conditions in the United States and around the…

Q: 1. When the federal government spends more than it takes in via taxes, it runs a fiscal deficit. A…

A: A budget basically refers to a financial plan that covers a certain time period, generally a year.It…

Q: Find the primary deficit when the fiscal deficit is $2100 and the interest on payment are $1500

A: Generally in the given question, Fiscal deficit is given as = $2100 The interest on payment stated…

Q: CONTRACTIONARY FISCAL POLICY GOV SPENDING 30% TAXATION tha t 70% How will Contractionary Fiscal…

A: Contractionary Fiscal Policy refers to decrease in government spending or increase in taxes in an…

Q: Explain how a larger government budget deficit increase the magnitude of the crowding-out effect?

A: Fiscal policy refers to the changes in federal government purchases and taxes. The government…

Q: Calculate fiscal deficit when Borrowings is $15,000 and the interest is $600

A: # Fiscal deficit is the difference between total expenditure and total receipts or spending of the…

Q: Explain the reasons why lags in fiscal policy can create statements such as this: “The member of…

A: Fiscal policy refers to the one of the types of economic policies, which is implemented by the…

Q: 2. What is the largest component of the federal budget? A) Entitlements C) Defense B) Net interest

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Economics n response to the Covid-19 pandemic, the Canadian government responded with an economic…

A: a)There would be redistribution of income between current and future workers,because debt was for…

Q: 1. The existence of budget deficits must mean that the government is conducting an expansionary…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: A(n) of government deficit from 1% to 3% of real GDP will shift the curve to the decrease, supply,…

A: Answer: C (increase, demand, right) Explanation: An increase in the budget deficit from 1% to 3%…

Q: We are given that the Borrowings are $15000 and the interest are $6000  Calculate the fiscal…

A: # The borrowings of the government represents the fiscal deficit of the government because it is…

Q: If a government shows the fiscal deficit of $ 40,000 billion the revenue expenditure on the interest…

A:

Q: What are the effects of the business cycle on the government's budget? automatically tax revenues…

A: The government spending plan, also known as the national budget, is a file that lists the various…

Q: The government's budget surplus in Macroland has risen consistently over the past five years. Two…

A: Please find the answer below.   FISCAL POLICY: Fiscal policy refers to the governmental use of…

Q: True or False and explain: Fiscal Policy is effective at reducing the duration of an economic…

A: Fiscal policy refers to the method of government spending and tax policies to control the economic…

Q: 1-Expansionary fiscal policy is ineffective if* a-There is long run equilibrium b-There is complete…

A: Fiscal policy can be expansionary if government attempts to raise output either by increasing…

Q: Explain 3 ways the Canadian Government might use fiscal policy to attempt to stimulate an economy…

A: Expansionary Fiscal policy is used as a means to shift the aggregate demand curve outwards during…

Q: Which is a good fiscal policy when inflation is very low and unemployment is very high? Decrease the…

A: Fiscal policy is a policy used by the government to stabilize the economy. Inflation refers to the…

Q: 6. The discretionary fiscal policy initiatives adopted in 2009 were intended mainly to A. increase…

A: Fiscal Policy is the policy through which government can adjust the tax rates and its spending level…

Q: The U.S. is in a recession due to decreased Aggregate Demand in the economy. Should the government…

A: When there is a financial crisis in the economy or a rise in interest rates, fall in the prices of…

Q: Do you agree or disagree with this statement: “It is in the best interest ofoureconomy forCongress…

A: I completely disagree with the above statement. Indeed there are a few worries that accompany a…

Q: Counter-cyclical fiscal policy works.  If consumers and businesses lose confidence because of the…

A:

Q: Calculate Fiscal deficit if:- Total expenditure = $330 million Revenue receipts = $110 million…

A: The data presented In the question above is:- Total expenditure = $330 million   Revenue receipts =…

Q: 9.  The lag associated with fiscal policy can:   magnify economic fluctuations. stimulate output…

A: Fiscal Policy:- The use of spending of government and taxation policies in order to impact market…

Q: If the primary deficit of a government budget is $2300 and the interest on payment of it is $100…

A: Primary deficit = $2300Interest payment =  $100   Fiscal deficit reflects financial strength of the…

Q: In an economy, the budgetary deficit is of $30,000 The total receipts are $14,000 Calculate the…

A: According to the above given question, the value given are:- Budgetary deficit = $30,000 Total…

Q: Assume that the economy is in a recession and ere is a budget deficit. A strict balanced-budget…

A: Under the recession, the economy is below the full employment level or aggregate demand deficient in…

Q: Please answer the following question: 1. What is the largest component of the federal budget? A)…

A: A budget is a document that the government creates that includes a list of all the planned revenue…

Q: Discuss the debate within Senate budget commitee and identity and discuss any of the politics you…

A: Congress determines overall expenditure, taxes, the surplus or deficit, and the public debt in its…

Q: When the government receives are more than the government expenditure we call it as Surplus budget…

A: Government budget: It refers to the set amount that is used by the government at various levels.…

Q: Draw and AS-AD model of an economy suffering from unemployment. What is one fiscal policy that can…

A: The aggregate demand curve shows the negative relationship between the price level and the total…

Q: Find the size of the cyclically adjusted budget deficit. Find the initial equilibrium for prices (P)…

A: The cyclically adjusted budget is the budget that would be implemented if the economy were fully…

Q: Expansionary Fiscal Policy and Fixed ER with perfect capital mobility in short run and long run.…

A: The fiscal policy is the policy of the government regarding the taxation and public expenditure in…

Fiscal Policy and Money Market

Fiscal policy is one of the important tools that is used by the government to control inflation or aggregate demand in the economy. Under this policy, there are two rules which are used by the government, one is the expenditure of the government and the other is the taxation or income of the government which it collects from the public.