Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Explain demand management of Keynesian economists
The demand management of Keynesian economists of 50's and 60's is attacked by free-marketers for ignoring the importance of supply side and using fiscal policy as a blunt instrument to manage aggregate demand. Free-market economists warn against changing levels of taxation in a flexible way to manage aggregate demand particularly income and business taxes since this sends confusing messages to entrepreneurs and workers, distorting long-term labour market incentives.
Though this doesn't mean that there is no place for demand-side policies in supporting macroeconomic performance. Globalised market economy is disposed to to volatility and unpredictable economic crises. In the last 15 years UK economy has been considerably affected by stock market crashes comprising the Asian crisis 1997/98, the dot.com bubble and terrorist attacks of 2001 banking crisis in 2008 and deep global recession which followed this crisis.
In such periods there is a definite need for government action to prevent the economy plunging into a deep recession. The 'animal spirits' that Keynes warned of in the 30's still exist today. Certainly one of the greatest dangers is when a market becomes paralysed with fear. Had Labour's Chancellor, Alistair Darling, not intervened in British economy in October 2008 to bail out HBOS and RBS and inject billions of pounds into the financial markets to restore confidence, it's possible that entire British banking system and economy could have collapsed.
Liberalisation and Mode of Entry: Various new forms of FDI flows have also emerged. Besides mergers and joint ventures, transactional relationships are emerging such as lice
Q. Describe Keynesian cross model? Keynesian cross model is a simple version of what we call the 'complete Keynesian model' or simply the Keynesian model. Keynesian model has a
A budget deficit is defined as: A. accumulated surpluses minus accumulated deficits. B. a shortfall of revenues compared to expenditures. C. accumulated deficits minus accumulated
Upon taking his first job at college your Dad earns an annual salary of $38,000 and set a goal to earn $10000 per year. If his salary increases at an average annual rate of 12% how
mundell-Fleming Model
critically explain solow model of economic growth
What are the four managerial factors that lead to diseconomies of scale
why is international trade important for south Africa
Assuming that the expectations theory is the correct theory of the term structure, calculate the interest rates in the term structure for maturity. Next, plot the resulting yield c
Q. Relationship between L and P? • As long as L is smaller than LB, L may change with no change in prices. In this range, there is no relation between L andP. • When L is betw
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd