fiscal policy GDP

 

2a. Given that the economy has moved from A to B what would be the appropriate fiscal policy to achieve potential GDP and why?

2b. If fiscal policy is successful at moving the economy from point B to equilibrium at potential GDP, what happens to unemployment and what impact will this have on the government’s budget?

 

  1. Identify each of the following as (i) part of an expansionary fiscal policy, (ii) part of a contractionary fiscal policy, or (iii) not part of fiscal policy.

 

3a.  The personal income tax rate is lowered.

3b.  The government increases spending on defence due to a change in spending priorities.

3c.  The company income tax rate is lowered.

3d.  The State of New South Wales builds a new tollway in an attempt to expand employment and ease traffic congestion.

 

For custom-written answers, place your order now!

What We Offer
• On-time delivery guarantee
• PhD-level professionals
• Automatic plagiarism check
• 100% Privacy and Confidentiality
• High Quality custom-written papers

Found something interesting ?

• On-time delivery guarantee
• PhD-level professional writers
• Free Plagiarism Report

• 100% money-back guarantee
• Absolute Privacy & Confidentiality
• High Quality custom-written papers

Related Model Questions

Feel free to peruse our college and university model questions. If any our our assignment tasks interests you, click to place your order. Every paper is written by our professional essay writers from scratch to avoid plagiarism. We guarantee highest quality of work besides delivering your paper on time.

Grab your Discount!

25% Coupon Code: SAVE25
get 25% !!