Explain how the application of monetary and fiscal policy might be used to stimulate a country's economy. Use an example of a country with which you may be familiar.
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- 11- Earnings such as wages, interests and dividends by residents who are living in other countries are called _____________. a. Domestic Output b. Factor income from abroad c. Price level d. Domestic producttransfer payments 355 Indirect taxes 315 Wages 2335 social security deductions 125 personal taxes (direct taxes ) 410 Imports 350 Rent 250 income of foreigners inside Jordan 450 Exports 145 retained (undistributed) profit 70 Interest 360 Depreciations 50 transfer payments 355 income of the Jordanian from abroad 300 Gross private investment expenditures 750 corporate taxes 275 Government expenditures 740 Profit 475 Prepare the government budget and show the result of it? Prepare the national savings and national investments accountsSuppose a country has an overall balance of trade so that exports of goods and services equal imports of goods and services. Does that imply that the country has balanced trade with each of its trading partners?
- 28. A terms-of-trade index that equals 150 indicates that compared to the base year of 100, a. it requires a greater output of domestic goods to obtain the same amount of foreign goods. b. it requires a lesser amount of domestic goods to obtain the same amount of foreign goods. c. the price of exports has risen from $100 to $150. d. the price of imports has risen from $100 to $150.PI= NI-retained corporate profits + net transfer payments - indirect tax National income: 19,786Less:Corporate profits with inventory valuation and capital consumptionadjustments -2,771Taxes on production and imports less subsidies -1,182Contributions for government social insurance, domestic -1,541Net interest and miscellaneous payments on assets -644Plus: Personal income receipts on assets 3,202Plus: Personal current transfer receipts 4,617 Personal income equals : ?Qs 4: What is the meaning of the term ‘tax expenditure’?
- PQ 19 The "debt service ratio" for a country is the ration of the country's ______ to _____ a. total external debt / fross domestic product b. annual interest payment on external debt / exports of services c. annual interest payments on external debt and scdeuled annual external debt repayments / export earnings d. annual interest payment on external debt /exports of earnings1. An increase in the budget deficit is the result of: (a) Expansionary monetary policy; (b) Contractionary monetary policy; (c) Expansionary fiscal policy; (d) Contractionary fiscal policy. 2. Company tax is a: (a) Progressive, direct tax; (b) Progressive, indirect tax; (c) Proportional direct tax; (d) Regressive indirect tax. 3. In the base year, a country produced 50 units of output at a price of R6,00 each for a nominal GDP of R300. This year it produces 60 units of output at a price of R8,00 each. What is the percentage change in real GDP since the base year?(a) 5%; (b) 10%; (c) 20%; (d) 15%. 4. Which of the following statements about Fiscal Policy is INCORRECT?(a) In order to combat inflation, the South African Reserve Bank must apply a contractionary fiscal policy;(b) A contractionary fiscal policy can result in higher levels of unemployment; (c) Expansionary fiscal policy will increase the budget deficit; (d) The application of fiscal policy will have no effect on…COURSE: MACROECONOMICS - FISCAL BALANCE The government of country X, faced with a fiscal deficit, proposes an increase in public spending (G) but which further increases the country's public debt. To justify this action the president argues that they are seeking to boost the economy which will increase the country's GDP allowing to collect significantly more money than initially spent, finally improving the situation of the fiscal coffers. Is this statement correct? Does the government have knowledge of economics?
- 16- Which one of these will be deducted from gross output to determine the net output? a. Intermediate consumption b. Private income c. Factor income from abroad d. Total government spendingExamine the effects of government expenditure as a fiscal policy measure on the Philippines economy. (5 Marks)Discuss economic stimulus (economic support) package provided by central government of Bangladesh to mitigate the losses of COVID 19
