1.in what way government is able to finance its deficit? 2.explain the reason why budget deficit can contribute higher economic growth and also lower economic growth of the country

Q: the South African government can fund its deficits without the economy experiencing rising general…

A: The budget deficit occurs where the total revenue is less than the expenditure of government.

Q: 3. The balanced budget multiplier For both political and macroeconomic reasons, governments are…

A: Given; Income equation:-                            Y=11-c1c0+I+G-c1T a) When G increases by one…

Q: Suppose potential GDP is $20 trillion.  If the economy produces at potential, then the government…

A: Hello. Since your question has multiple parts, we will solve first question for you. If you want…

Q: more debt every year while its output is greater than potential output and its economic growth is…

A:

Q: 1. A country has a government debt-to-DGP ratio of d=80%. The effective interest rate on the debt,…

A: Gross domestic product means the goods and services produced in an economy. It is the summation of…

Q: What measures and interventions can a government take to reduce a budget deficit?

A: The budget deficit is the macroeconomic problem which when aggravated may lead to the one of the…

Q: Why are persistent budget deficits worrisome?   - Deficits can lead to private investment spending…

A: Budget deficits occurs when government's expenditure is more than government's revenue. Government…

Q: The table sets out the data for an economy when the government's budget is balanced. Real Loanable…

A: Crowding out manifests a situation where the investment by private sector gets hurt due to an…

Q: 1.a) Define fiscal policies and provide examples of 2-3 specific policies from any level of…

A: Hello. Since you have posted multiple questions and not specified which question needs to be solved,…

Q: # 5: What do you think the obstacles will be to reducing projected deficits over the long term?…

A: In monetary terms, a deficit happens once expenses exceed revenues, imports exceed exports, or…

Q: the equilibrium quantity demanded for fhnancial capital by 10 2.51% of GDP. Show the effect this…

A: Investment definition is a resource gained or put resources into to create financial wellbeing and…

Q: Homework - Please give explaination for correct option. The US national debt is approximately $23.2…

A: Given:P=$23,200 billionr=4%=0.04n=40 years (2059-2019)

Q: All other thing being equal, what happens to the government deficit when the economy is in a…

A: A recession refers to as a period of slow or negative real GDP (output) growth that is accompanied…

Q: 4. Ghana has continually seen an increase in its public debt stock from one government to another.…

A: Answer: Introduction: Public debt: Public debt stock refers to the total outstanding debt of the…

Q: 1. Which of the following would neutralize and offset the stimulating effect of deficit spending? *…

A: When government increases spending to boost Aggregate demand, the government injections to the…

Q: a budget surplus of $50 billion more next year than this year. c) How does the elasticity of supply…

A: In the situation where the revenue from the tax in turn tends to be greater than the spending of the…

Q: Explain how a budget deficit arises and what actions governments must take in this circumstance. How…

A: please find the answer below.

Q: 6) If the inflation rate is 3 percent, real GDP growth is 2 percent, and the current budget deficit…

A: Given: Inflation rate=3% Real GDP growth rate=2% Current budget deficit=$100 billion

Q: Problem 1 1. Total budget deficit is equal to: O Frictional deficit plus cyclical deficit Structural…

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…

Q: (Crowding Out and Capital Formation) In earlier chapters, we’ve seen that the government can try to…

A: Long-term effect of deficit budget: The long-term effect of deficit budget depends on the character…

Q: 1. What is deficit budget? What measures Government can take to bring their budget into surplus?…

A: Government budget makes a forecast of the government's spending and taxes in a future period of…

Q: 2.18 Privatizing a state enterprise or establishment that is losing money, helps to improve the…

A: We will answer the first question since the exact one was not specified. Please submit a new…

Q: Explain how a larger government budget deficit increase the magnitude of the crowding-out effect?

A: government budget deficit  means that government's expenditure is more than the government's revenue…

Q: Explain the government budget deficit and debt and how this can cause crowding out for loanable…

A: As economies and societies developed, the study of economics got more complicated. Hence, as a…

Q: During the most recent recession,some economists argued that the change in the interest rates that…

A: In the financial market, the equilibrium interest rate is determined at a point where the demand…

Q: 5. Let C-120-0.6Y-140, G-200, T-100 (a) What are govemment spending multpler, tax multiplier, and…

A: Government spending or expenditure includes all government consumption, investment, and transfer…

Q: 1. How does the evolution of the debt-to-GDP ratio 2 depend on g (the growth rate) and i (the…

A: Hi! Thank you for the question As per the honor code, We’ll answer the first question since the…

Q: 7. Which of the following is true about the annual budget prepared by the Government? * O It is a…

A: In an economy, government maintains a record of its spending and expenditures on yearly basis.

Q: 3. Suppose the country of Macroland's annual fiscal standing for six recent years. Assume that…

A: Government expenditure: Government expenditure is the amount of money spent by the government on…

Q: 6. A government spends $50,000 as an expansionary fiscal policy. It pays this money to a vendor who…

A: Increase in the firm's output = Total expenditure / Price

Q: Analyze the effects of a government budget deficit.

A: Hey, thank you for the question. Since there are multiple questions posted, we will answer first…

Q: In à člosed economy, Y = $15 billion C = $12.0 billion | = $1.5 billion TR = $3.0 billion T = $2.0…

A: A budget deficit refers to when the revenue earned by the government is exceeded by its…

Q: When the government receives are more than the government expenditure we call it as Surplus budget…

A: Government budget: It refers to the set amount that is used by the government at various levels.…

Q: (c) Describe what would happen if the government tried to eliminate its budget deficit by…

A: Y = C + I + G  C = a + b(Y - T) T = tY a = 20 b = 0.75 t = 0.25 I = 100 G = 240 C = a + b(Y - T) C =…

Q: 5. Which of the following can be a reason for gov't deficit: O Saving is very large Investment is…

A: All of the above answer is correct because if the saving is very large means that the people are not…

Q: why did greece have a debt crisis in 2010 - 12 with public debt around 170% of GDP while Japan has…

A: The Greek government-debt crisis was the sovereign debt crisis looked by Greece in the repercussions…