Reference no: EM131348082
Part A: Maximum of 450 words for Part A
The government wants to introduce programs to make sure that citizens can afford adequate and affordable housing. It is considering a report that proposes four ways of pursuing that goal:
(i). Passing a law requiring that all rent be cut by one forth.
(ii). A subsidy to all home builders.
(iii). Providing a subsidy directly to the renters equal to one-fourth of the rent they pay.
(iv). A grant to the first home buyer.
Predict what effect each of these proposals would have of the price and quantity of housing (rental/owner occupied) in the short run and in the long run?
Part B Maximum of 350 words for Part B
Explain the impact of the following on the Australian GDP (Gross Domestic Product). In your answer, you need to mention which component of GDP is mostly affected:
(i). Demise of the mining boom.
(ii). A significant decrease in Business Tax.
(iii). Sharp economic downturn or a recession
Part C: maximum of 150 words for Part C
"GDP is a useless measure. It is not able to do the job that it is intended for" Critically evaluate this statement.
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The bonds make semiannual payments
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: The government wants to introduce programs to make sure that citizens can afford adequate and affordable housing. It is considering a report that proposes four ways of pursuing that goal:
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