i) Calculate total government expenditures. ii)Calculate total government spending. iii)Is the government running a surplus, deficit, or a balanced budget?
Q: In an economy, the fiscal deficit is $31,000 , total expenditure is $88,000, and revenue receipts is…
A: The data presented in the question is:- Fiscal deficit = $31,000 Total expenditure = $88,000…
Q: How will the deficit for the bottom line budget of $3.1 trillion affect the economy?
A: The budget deficit would result in the increase of the government expenditures over the revenues.…
Q: in a government budget, revenue deficit is $50,000 and borrowing are $75000. How much is the fiscal…
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Q: A government budget shows the primary deficit of 6100 billion the revenue expenditure on interest…
A:
Q: A government starts off with a total debt of $3.5 billion. In year one, the government runs a…
A: Given that the government starts off with a total debt of $3.5. next year, the government faces…
Q: Find the primary deficit when the fiscal deficit is $2100 and the interest on payment are $1500
A: Generally in the given question, Fiscal deficit is given as = $2100 The interest on payment stated…
Q: Calculate the value of fiscal deficit if primary deficit is $420 million and interest payments is…
A: (Q) Calculate the value of fiscal deficit if the primary deficit is $420 million and interest…
Q: The use of government spending and taxation to affect aggregate demand are examples of fiscal…
A: Aggregate demand is the measure of total goods demanded and services too in any particular economy.…
Q: Consider this data on the 2017 state budget for Alabama. What were the two largest components of…
A: Consider this data on the 2017 state budget for Alabama. What were the two largest components of…
Q: In a government budget, primary deficit is $20000 million and interest payments is $16000 million…
A: The information given to us is as follows:- Primary deficit of the government = $20,000 million…
Q: In 2019, the government collected $550 billion in taxes and the government had a $120 billion budget…
A: Budget Deficit occurs when government spending exceeds the revenue collected by government. Budget…
Q: Find the fiscal deficit if the primary deficit is 760 and the interest payments are 120
A: Actually in the question, Primary deficit is given as = 760 Interest payment are = 120 Fiscal…
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A: The government of a nation and the central bank have the responsibility of undertaking necessary…
Q: Define government budget in not more than 3 lines
A: As to run a family, households have proper budgets for their expenses and income similarly to run…
Q: _______ The total of all federal deficits is calleda. depression.b. fiscal policy.c. gross domestic…
A: The total of all federal deficits is the sum of money that the country owes, and must be repaid.
Q: in a government budget the primary deficit is $10,000 million and the interest payments is dollar…
A: In an economy, government make expenditure for different purposes that may lwad to arise primary and…
Q: Define the budget deficit
A: A budget is a financial document of the economy. This includes the expected revenue of the…
Q: If a government shows the fiscal deficit of $ 40,000 billion the revenue expenditure on the interest…
A:
Q: Which of these is MOST LIKELY to occur after the government increases taxes? A.) Consumer…
A: When taxes are increased, consumers' spending reduces as disposable income falls. Consumers are left…
Q: Find the budgetary deficit if the total budget expenditure are $140 and the total budget receipts…
A: In the question, Total budget expenditure are = $140 Total budget receipts are = $10 Budgetary…
Q: Deficit spending" refers to a situation where the government: A. Spends borrowed funds B. Collects…
A: When tax revenue collected by the government is equal to government spending the situation is known…
Q: A government shows a primary deficit of $1122 and the expenditure on interest payment is $432 what…
A:
Q: Calculate the budgetary deficit in a country which has a total expenditure of $19,000 million and…
A: A Budget is a term mainly used for government expenditure or spending instead of Business firm's…
Q: What is the relationship between budget deficit and debt ratio to Gross Domestic Product (GDP)
A: A budget deficit shown when expenses exceed revenue and indicate financial condition of a country.…
Q: The largest single portion of the federal budget is devoted to A. interest payments on the…
A: Federal budget is divided into various uses, rnaging from education and Medicare to social security…
Q: Policy Failure Fiscal policies can work only if private enterprises respond to them in certain way;…
A: Fiscal policy is the policy of the government regarding financial matters such as the tax rate of…
Q: Short answer question (1) Define fiscal deficit
A: # During a perticular fiscal year if the government's expenditure goes up in comparison to the total…
Q: A government starts with a national debt of $3.5 billion. In year 1, the government runs a budget…
A: When government spending is more than government revenue, it is known as budget deficit. When…
Q: A government starts with no debt and then borrows $10 billion per year for four years.How much are…
A: The deficit is the amount by which a budget's expenses exceed its profits. The amount of money in…
Q: Economic situation: The economy is suffering from an unemployment problem created by too little…
A: A fiscal policy of expansionary nature works when the nation is going through a low, and it will…
Q: spending is the part of the budget that works its way through Congress each year and includes…
A: Governments, organizations, and people all use budgets to estimate income and spending for a certain…
Q: Government spending in the federal budget that Congress can adjust as it wishes is called
A: The power assigned to Congress to adjust the government spending in the federal budget is termed as…
Q: The Effects of Fiscal Deficits on an Economy.
A: Fiscal deficit refers to the difference between the expenditure and income of government or…
Q: Calculate the budgetary deficit when the total expenditure is 200000 and the total receipts is…
A: # Budgetary deficit is given as the difference between the total expenditure and total receipts that…
Q: Key limitations to fiscal policies.
A: Fiscal Policy is that the use of state spending and taxation levels to influence the amount of…
Q: For the U.S. government, which of the given is NOT an example of discretionary spending? defense…
A: Answer is Medicare. Medicare spending is not an example of discretionary spending and it does not…
Q: In an economy, the budgetary deficit is of $30,000 The total receipts are $14,000 Calculate the…
A: According to the above given question, the value given are:- Budgetary deficit = $30,000 Total…
Q: Primary deficit in a government budget is : (a) Revenue expenditure - Revenue receipts (b) Total…
A: According to the given question In simple words we can say that the primary deficit is the initially…
Q: Calculate the primary deficit if Fiscal deficit is $2000 million and the interest payments is $440…
A: The given information is :- Fiscal deficit of the government = $2000 million Interest payments =…
Q: Analyse the various policy measures that a government might have to undertake to deal with and…
A: A fiscal deficit occurs when government spending exceeds government receipts. An uncontrolled fiscal…
Q: (Federal Debt) What has happened to the federal debt since 2008 as measured relative to GDP?
A: The federal debt is the total amount of money that the federal government owes to its investors or…
Q: the governament budget constrant: deficits,debts,spending and taxes kindly explain each of them in…
A: The government(G) budget-constraint is an equation(eqn) that links monetary-choices of money-growth…
i) Calculate total government expenditures.
ii)Calculate total government spending.
iii)Is the government running a surplus, deficit, or a balanced budget?
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- Create three diagrams for the aggregate expenditures (AE) model for a public closed economy by adding different taxes. For the Diagram #1 suppose: Autonomous Expenditures: $6000; MPC: 0.75 Taxes: $1500;Potential Output: $16500For the Diagram #2 suppose: Autonomous Expenditures: $ 6000; MPC: 0.75;Taxes: $3000;Potential Output: $16500For the Diagram #3 suppose: Autonomous Expenditures: $6000; MPC: 0.75; Taxes: $2500Potential Output: $16500Explain each diagram by determining economic gaps and/or equilibriums. How does an increase in taxes affect GDP? How does a decrease in taxes affect GDP?The following set of equations describes the economy of a country A, in Africa C = 2000 + 0.75Id consumption equation I = 36000 investment G = 36000 Government Expenditure X = 2550 Exports M = 410 + 0.3Y Import equation T = 100 + 0.25Y Tax equation Compute the equilibrium National Income and imports for the country A Complete the tax multiplier and the Government spending multiplier Compute the equilibrium income and consumptionA. Calculate the levels of consumption and savings that occurs when the economy is in equilibrium. B. Computer the government budget deficit in this economy. C. If government spending in banana land increases by $1000 what is the amount of the increase in equilibrium output? D. If taxes in banana land decrease by $1000 what is the new equilibrium output in this economy? E. To keep the government budget balanced, of both government spending and taxes in banana land increase by $1000 what is the change in equilibrium income level?
- tions gwep17t.09.024 O O Which of the following are leakages from the circular flow of income? a. Savings, taxes, and imports b. Investment, government purchases, and exports c. Investment, taxes and bonds d. Imports, wages and taxes Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism.Answer completely and accurate answer.Rest assured, you will receive an upvote if the answer is accurate.If consumption is C=100+0.75Yd Taxes is T=50+0.5Y Export is X=200 Import is M=50+0.25Y Government spending is G=150 Investment is I=200 Usethemultiplierapplicabletoexport,toexplainhowa100–billiondeclineindemand forexportcouldaffecttheeconomy’s: (i) BalanceofpaymentSuppose the economy is characterized by the following behavioral equation: Y = C + I + G + (X-M) Equilibrium condition C = 2000 -f' 0.75Yd Consumption equation I = 4000 Investment expenditure G = 4100 Government Expenditure X = 2800 Export M = 400 + 0.25Y Import equation T = 100 + 0.3Y Tax equation Yd = disposable IncomeRequired: Derive Balance of Payment (BP) curve and explain why it slopes upwards Compute equilibrium national income and Imports for the economy. Differentiate between the closed-economy model and the open economy model
- During the 2007–2009 recession, the value of commonstocks in real terms fell by more than 50%. How mightthis decline in the stock market have affected aggregatedemand and thus contributed to the severity of therecession? Be specific about the mechanisms throughwhich the stock market decline affected the economy.Imagine that the U.S. economy finds itself in the followingsituation:agovernmentbudgetdeficitof$100 billion, total domestic savings of $1,500 billion, and total domestic physical capital investment of $1,600 billion.Accordingtothenationalsavingandinvestment identity,whatwillbethecurrentaccountbalance?What willbethecurrentaccountbalanceifinvestmentrisesby $50billion,whilethebudgetdeficitandnationalsavings remain the same?Explain fiscal policy and give an exmple of how it could be applied to the current COVID situation in the United States.
- Given thatG= 201= 35C = 0.9Ya + 70T= 0.2Y + 25Where, G, I, C, T and Ya are planned government expenditure and planned investment autonomous andconsumption expenditure and tax respectively.Calculate the equilibrium level of national income.a. Suppose that in an economy with no government, the aggregate expenditurefunction is: AE = 50+0.75Y with an investment level of 100.i. Determine the level of planned expenditure when income is 150.ii. Draw a diagram showing the aggregate expenditure functioniii. What are the levels of autonomous consumption and inducedconsumption at income levels of 150 and 200.b. An open economy with a government sector is in equilibrium. Assume thefollowing:1. Marginal propensity to save = 0.42. Marginal propensity to tax = 0.23. Marginal propensity to import = 0.2i. Solve for the value the government multiplier ii. Determine by how much the equilibrium level of national incomewould fall, if injections in the economy are reduced by Ks.60m.iii. Determine the new level of income if taxes increased by KS. 20c. Propose four reasons why economists should not consider GDP an effectivemeasure of the standard of living in a country.Equal increases in government spending andtaxes willa. cancel each other out so that the equilibriumlevel of real GDP remains unchanged.b. lead to an equal decrease in the equilibriumlevel of real GDP.c. lead to an equal increase in the equilibriumlevel of real GDP.d. lead to an increase in the equilibrium levelof real GDP output that is larger than theinitial change in government spendingand taxes.