Describe effect that each of policies have on economy

Reference no: EM13221591

With a federal budget deficit of nearly $350 billion, fiscal authorities are considering the following policy actions to address the existing economic problems of high unemployment, high inflation and slow GDP growth.

Policy 1: Decrease government expenditures.
Policy 2: Increase in personal income taxes
Policy 3: Increase business taxes and regulations.

Describe the effect that each of the policies will have on the economy and demonstrate each on an individual AD-AS graph. Be sure to address the effect on output, employment and price level in your descriptions.

Reference no: EM13221591

Questions Cloud

Determine how managers would use the cost-benefit analysis : Provide a cost-benefit analysis for a company which has to decide whether to hire more staff or hire temporary workers to meet production schedules. Determine how managers would use your cost-benefit analysis to make this decision.

Create a series of three standard billboards : Create a series of three standard billboards that would grab a commuter's attention and motivate them to visit the store. Describe your three billboards in detail.

Explain what is the lewis structure and molecular shape : What is the lewis structure and molecular shape around the carbons in CCl2CH2 as predicted by the VSEPR theory?

Compute the vapor pressure of a solution : Calculate the vapor pressure of a solution prepared by dissolving 70.0 g of naphthalene, C10H8 (a nonvolatile nonelectrolyte), in 220.0 g of benzene, C6H6, at 20°C. Assume the solution is ideal. The vapor pressure of pure benzene is 74.6 torr at 2..

Describe effect that each of policies have on economy : Describe the effect that each of the policies will have on the economy and demonstrate each on an individual AD-AS graph. Be sure to address the effect on output, employment and price level in your descriptions.

Describe the additional complexities that would arise : Assume that the company's is considering a merger. The possible merger currently faces some threats and that the industry decides on self-expansion as an alternative strategy, describe the additional complexities that would arise under this new sc..

Compute the frequency factor for the reaction : The specific rate constant at 293 K is found to be 2.35 x 10^-4 s^-1 and at 303 K the specific rate constant is found to be 9.15 x 10^-4 s^-1. Calculate the frequency factor for the reaction at 303 K.

Explain what is the molecular weight of the unknown : When 20.0 grams of an unknown compound are dissolved in 500. grams of benzene, the freezing point of the resulting solution is 3.77°C. The freezing point of pure benzene is 5.48°C, and Kf for benzene is 5.12°C/m. What is the molecular weight of th..

User Account

All Pages