and the increment of growth within a nation, such as ours, are achieved through the dual use of fiscal and monetary policy. The essay will give a brief description of both policies as well as the manner in which they theoretically operate when attempting to achieve their goals. A look at the current policies currently being used in the country and their success will be assessed in comparison with the policy aims. Lastly, a look at whether the current fiscal and monetary policies being used are actually
In Australia the use of fiscal and monetary policies are implemented to achieve a steadily growing and stable economy. The main features to achieving the macroeconomics objectives are fiscal policy, monetary policy and floating the exchange rate. Macroeconomics looks at the economy as a whole and these policies are used and manipulated due to the current state of the economy. The four main macroeconomic objectives are full employment, external balance, economic growth and price stability. The changes
AMIR TUKUR ECONOMICS FOR GLOBAL BUSINESS This section of the report we will be discussing and evaluating Macroeconomic policies used by the Government and the Central Bank in China over the last two years. Articles, graphs and journals will be used in an attempt to explain/demonstrate what macroeconomics is, policies in macroeconomics and how Government and Central Banks apply them with a particular focus on the Chinese economy. Macroeconomics is a branch of economics, which deals with the performance
Economic Growth Measurement Economic growth refers to an increase in an economy’s productive capacity, as measured by changes in its real GDP (adjusted for inflation), over a period of time. Growth may be measured quarterly, annually, or year on year (changes from one quarter to the corresponding quarter the following year). Annual growth is used to identify trends in the business cycle, while quarterly growth provides an indication of the economy’s short-term direction, and year on year growth
to prehistoric times, the main economic development began with the colonization by British explorers in the late 1700’s. Throughout time, the island nation has shared much with its British lineage in that it has been a predominately isolated island nation that relies heavily on international trade. While this has allowed New Zealand to become developed and prosperous, it also exposes their economy to global economic recessions and unexpected swings in various economic indicators. Sections in particular
EFFECT OF MACRO ECONOMIC POLICY ON NIGERIAN ECONOMICS GROWTH AND DEVELOPMENT ABSTRACT This research work focus on the appraisal of Macroeconomic Policy on Inflation in Nigerian Economy, also to determine how it enhances the growth of Nigerian Economy. The aim of this research work is to look into challenges and numbers of hypothesis were drawn. Information necessary to address the test of hypothesis was gathered through secondary data, source from Central Bank of Nigeria (CBN). Economic analysis was
The post-GFC expansionary monetary policy of Australia Background The global financial crisis (GFC) is begun with the collapse of Lehman Brothers in Sep. 2008, when a loss of confidence in stock investors of the value of sub-prime mortgages caused a liquidity crisis, resulting the global central banks injecting a large amount of capital into the financial markets and consumers ' confidence hit the bottom, according to McKibbin, W.J. (2009, p.1). The second phase of GFC stepped after the US bank crisis
and fuel subsidy removal are policies that are phenomena to the Nigerian economic environment. This research study identifies that the implementation of the policies has further caused more challenges in the pursuit for economic development than remedy to alleviate the crisis. From the research questions of this research study, was the questionnaire developed aimed at prying into currency devaluation and fuel subsidy removal for Nigeria’s economic development. The use of questionnaires were employed
economy is the degree of government intervention and the reliance of market to determine prices (Cherunilam, 2009). Command market is the system in which the market is centrally controlled and regulated by the government; free market economy is the system demand and supply determine the market prices and regulations. However, mixed economy is a combination of Command and Free market economy (Bogolib, 2013); the market price is determined by demand and supply but the government intervenes to ensure stability
currencies are fully backed by gold or silver. The most famous example is the hyperinflation that struck the German Weimar Republic in the early 1920s. The countries that were victorious in World War I demanded something in return from Germany, which could not be paid in German currency, as this was of suspect value due to government borrowing. Germany attempted to print paper notes, buy foreign currency with them, and use that to pay their debts. This policy led to the rapid devaluation of the German currency