Economics: Principles & Policy
14th Edition
ISBN: 9781337696326
Author: William J. Baumol; Alan S. Blinder; John L. Solow
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 18, Problem 5DQ
To determine
Check whether the reducing taxes on saving is a good remedy.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Assignment One Topic: Farm fertilizer In 2019 the Dutch Parliament decided they were going to arbitrarily
close 50% of their livestock farms. Soon after this, the Canadian Government was rumored to be on the verge
of implementing an extremely large tax on Farm fertilizer used (upwards of 35-40% depending on where you
looked). Assume they do go ahead with this rumored idea, what happens next, what is the fallout in the
Economy and how will it impact you? Is this a good idea? The tools you need to analyse this question can be
found in the first half of your textbook and there are plenty of articles online about the question
What is the G7 summit? Full and detailed discussion. (Minimum of 500 words)
You may refer to this lecture video: https://www.youtube.com/watch?v=SPYnH7FNhbk
Directions: Read the speech first and answer the question that was asked below.
He must do well since getting good results is the most important thing. At this juncture in our nation's history, we must abandon the idea that we are in a state of emergency. He needs to have a perspective that is focused on the long run while making investments. Remember that the people of the United States are why their country is the richest in the world. He ought to invest in the knowledge and experience of his own staff. That refers to the instruction they received. That implies increasing the average level of education. Those financial commitments to the nation's workforce are the single most significant item for the nation. You are, in essence, saving money and investing it for the future when you make such investments. It is not only beneficial to the economy and the nation as a whole, but it also helps individuals become far more resistant to the effects of economic downturns. This is a condition…
Chapter 18 Solutions
Economics: Principles & Policy
Knowledge Booster
Similar questions
- CRUDE OIL: COMMUNITY ENGAGEMENT OF A MULTINATIONAL OIL COMPANY Greg breathes a sigh of relief,thankful that he wouldn’t have to ask for directions to his office (again). It has been an exhausting first week. Once inside his office, Greg smiles fondly at a framed photo of a younger, sweatier version of himself (losing badly while) playing football with Peruvian community leaders. His focus on maintaining positive relationships with local Peruvian communities while handling his former company’s mining operation in the Amazon basin had attracted the attention of national media. After The Peruvian President retweeted the picture of Greg and his team playing football with the Peruvians, Greg became somewhat of a celebrity for a few days. Greg likes to joke that he keeps the photo in his office to remind himself of one of his greatest victories (the community engagement project was a huge success) and one of his greatest failures (Greg’s team lost the football game 9-0). Greg Cook steps…arrow_forwardNEWS WIRE NORTH KOREA'S ROCKETS DEEPEN FOOD CRISIS North Korea's Rocket Launches Cost $1.3 Billion North Korea's rocket program is costly. In December 2012 North Korea successfully launched a long-range rocket carrying a satellite into space. That feat cost $300 million. The entire cost of the rocket program last year - including the failed launch in April - totaled about $1.3 billion according to estimates by South Korea experts. With that much money North Korea could have purchased 4.6 million tons of corn - enough to feed its population for 4-5 years. North Korea's ambitious nuclear program costs nearly triple that amount. The burden of North Korea's military program is evident in widespread poverty and periodic starvation. Source: News accounts of December 2012 - January 2013. According to the News Wire, what is the opportunity cost of North Korea's rocket program in terms of corn for North Korea's 25 million people? million tons of cornarrow_forwardProblem 12-03 (algo, with video solution) Given below are data on real GDP and potential GDP for the nation of Anaziland for the years 2009-2013, in billions of 2009 currency. For each year, calculate the output gap as a percentage of potential GDP and state whether the gap is a recessionary gap or an expansionary gap. Also calculate the year-to-year growth rates of real GDP. Instructions: Enter your response as a percentage rounded two decimal places.If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. ces Year 2009 Real GDP Potential GDP Output gap Type of gap Growth rate of real GDP 13,250 13,660 % (Click to select) ✓ 2010 13,990 13,300 % (Click to select) 2011 14,450 13,400 % (Click to select) % 2012 13,880 14,060 % (Click to select) 8 2013 14,080 14,500 % (Click to select) 8 Recessionary gap is identified during O 2009; 2012-2013 O 2009-2010; 2013 O 2010-2011 O 2011-2012arrow_forward
- Activity 1 Answer the following: 1. Would you consider spending to make a school or an office building earthquake-proof a good investment? Why? 2. Assuming that the country like the Philippines can afford it, what proportion of its annual budget should it allocate for disaster-related programs? 3. What would you consider a better policy, focusing on preparedness and other pre- disaster programs or on post-disaster-related concerns (relief, rescue, and rehabilitation)? Explain your answer.arrow_forwardTopic: What is the world going to be like if we continue to have bilateral economic war in the next 25 years? Considering this question, and answer in a paragraph. Question: what are the pros and cons to National Military, and how do they effect our economy? Thanks for your time!arrow_forwardEconomics The economic growth rate in Disney Land is 1%, the unemployment rate is 5%, and inflation is running at 3%. Given these conditions, select the choice below that best describes the current performance of Disney Land's economy (a) depression (b) recession (c) sluggish growth (d) moderate growth (e) strong growth (f) inflationary episode (g) stagflationarrow_forward
- INTERNATIONAL TRADE Background Imagine that you work for the World Bank and you have been called to Ghana to aid the new president to come up with a new international trade strategy. You are told that the new government is interested in moving away from agriculture and into manufacturing. To do so, the government wants to pursuit a policy of import substitution industrialisation (ISI). You are given a brief about Ghana highlighting the following points: About half of Ghana’s population depends on agriculture, but Ghana still imports some of its food. The majority of Ghana's people live in rural areas and exist on a subsistence way of life. Ghana has one of the highest rates of income inequality in the world. Nearly half of the population is employed in agriculture. QUESTION The parliament of Ghana is debating whether import substitution should take the form of quotas or tariffs. You are asked to brief them on the difference between the two. A representative from Ghana's…arrow_forwardINTERNATIONAL TRADE Background Imagine that you work for the World Bank and you have been called to Ghana to aid the new president to come up with a new international trade strategy. You are told that the new government is interested in moving away from agriculture and into manufacturing. To do so, the government wants to pursuit a policy of import substitution industrialisation (ISI). You are given a brief about Ghana highlighting the following points: About half of Ghana’s population depends on agriculture, but Ghana still imports some of its food. The majority of Ghana's people live in rural areas and exist on a subsistence way of life. Ghana has one of the highest rates of income inequality in the world. Nearly half of the population is employed in agriculture. QUESTION After a meeting with Ghana’s president you learn that the government is also interested in repatriating migrants that went to European countries to study engineering a decade ago. Explain how this is…arrow_forwardInternational Macroeconomics-End of Chapter Problem During his presidency, Donald Trump attempted to alleviate the U.S. trade deficit by passing a series of tariffs on Chinese exports. Prior to President Trump taking office, the U.S. had an average tariff rate of 3.1% on Chinese exports, but by February of 2020, the average tariff rate had increased to 19.3%. During the same time period, the U.S. dollar went from 6.27 Chinese yuan per U.S. dollar to 7.10 Chinese yuan per U.S. dollar. Based on an analysis of the foreign exchange market, implementation of the tariffs would cause the dollar to O appreciate against the yuan, consistent with the data. appreciate against the yuan, contrary to the data. depreciate against the yuan, contrary to the data. depreciate against the yuan, consistent with the data.arrow_forward
- Message from our expert: Our experts need more information to provide you with a solution. Please provide the region. Please resubmit your question, making sure it's detailed and complete. We've credited a question to your account. Your Question: 1. Discuss how was cane sugar produced in Barbados before emancipation. 2. what improvements were made in sugar production since emancipation? 3. Compare and contrast the equipment used to produce sugar then to those use to produce sugar now.arrow_forwardD3) Why would banks use more equity to invest in their assets, knowing that it would scare off a lot of shareholders? What is wrong with this statement? Do they usually start using equity as investments when they can not use anymore money from depositors which forces them to use it? Are banks allowed to hold equity has an investment? One of your fellow students was specifically looking at the Equity Multiplier calculated from the Balance Sheet from your assignment for this week, which went up by a lot in only one year between 2019 and 2020. Why do you think this happened? "Bank equity capital is a source of funding for asset growth and also function to provide confidence for bank creditors that they will get their funds back."arrow_forward1 How was Canada affected by the Great Recession (2007-2009) and what did they do to recover?arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
