How would these short- run policies have affected the prices

Assignment Help Microeconomics

Reference no: EM13743737

During the spring and summer of 2008 when gasoline prices were rising quickly, politicians in several countries proposed a moratorium on some or all gasoline taxes to help consumers. In the United States, John McCain, the Republican candidate for president, proposed suspending the federal gasoline tax of 18.4¢ for the summer when demand tends to be high. (Hillary Clinton, while an active candidate for the Democratic nomination for the president, also pushed this plan.)

In the United Kingdom, Prime Minister Gordon Brown proposed delaying a two pence per liter rise in a fuel tax until the fall. How would these short- run policies have affected the prices consumers pay in these countries if the policies had been enacted?

Reference no: EM13743737

Questions Cloud

Discussing an existing product : Write a 700- to 1,050-word paper discussing an existing product-such as a sports drink, household product, car, or computer-that you think is not marketed effectively.

Determine the basic and diluted earnings per share : The company is authorized to issue 9,518,400 shares of $10 par value common stock. As of December 31, 2012, 2,379,600 shares had been issued and were outstanding.

Which were characteristics of italian society and culture : Which of the follooing were characteristics of Italian society and culture during the Renaissance? Strong, spiritual papacy, Lack of recovery from Black plague, Largely urban society and Emphasis on education.

Different between debt financing and equity financing : What's the different between debt financing and equity financing? The following link shows the current US surplus / deficit (i.e. debt financing), how long do you think the government can continue to spend like this? What can be done to reverse th..

How would these short- run policies have affected the prices : How would these short- run policies have affected the prices consumers pay in these countries if the policies had been enacted?

Strategies based on fiscal and monetary policy : Discuss the current economic situation in the U.S. as compared to five (5) years ago. Include interest rates, inflation, and unemployment rate in your explanation.

Additional investment in building the land for the project : Assume there is no need for additional investment in building the land for the project. The firm's marginal tax rate is 35%, and its cost of capital is 10%.

What are the sources of human capital : What are the sources of human capital and Discuss some specific examples and what is the law of diminishing returns? Give an example of what law of diminishing returns implies.

Time value of money : Define the following terms using your text or other resources. Cite all resources consistent with APA guidelines.

User Account

All Pages