Improvements in productivity leads to economic growth thanks to … Public and private investment in human capital, technology and physical capital. The elimination of trade deficits and government budget deficits. Public investment in human capital, technology and physical capital exclusively. Higher government budget deficits and government spending in infrastructure and physical capital only.
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- Government consumption expenditures equal A. government outlays minus transfer payments. B. the government primary deficit plus net interest payments. C. government outlays minus net interest payments. D. government purchases minus government investment.Private domestic saving provides the pool of funds available for Private domestic saving provides the pool of funds available for ... only financing government budget deficits putting under one's mattress Domestic investment and financing government budget deficits Consuming goods and servicesA central bank whose sole purpose is to stabilize price growth will never cooperate with an expansionist fiscal policy. Starting at equilibrium and in the context of the national income identity, a sudden increase in private investment holding the government budget deficit fixed implies a trade surplus. Consider an economy that is open to international trade and in which the domestic real interest rate matches the average world interest rate. In the context of the loanable funds market if there are no restrictions on capital movements across borders, an increase in taxes while government spending remains fixed will lead to an appreciation of the real exchange rate.
- Twin deficits refer to the combination of government budget deficit and trade deficit. The relationship between the 2 types of deficit is If the government budget deficit decreases, then the trade deficit would rise. An increase in the government budget deficit can lead to a greater trade deficit, but not always. During a recession, both deficits are likely to fall.Canadian real GDP unexpectedly accelerated to a 4.5 percent pace in the second quarter of 2017. This faster-than-expected growth was the fastest among Group of Seven countries. It was led by the biggest rise in household spending since before the 2008–2009 global recession.How would an unexpected increase in the economic growth rate influence federal government outlays? Federal government outlays would ______ because ______ .A. decrease; government expenditure on goods and services would fallB. decrease; transfer payments such as unemployment benefits would fallC. increase; debt interest would increaseD. not change; the economic growth rate doesn't influence federal government outlays How would an unexpected increase in the economic growth rate influence federal government revenues? Federal government revenues would ______ because ______ .A. not change; the economic growth rate doesn't influence federal government revenuesB. increase; taxable incomes would rise and tax…Which of the following is not true of deficits? Supply-side policies contribute to budget deficits by cutting taxes. Demand-side policies contribute to budget deficits by increasing government spending. Deficits in any budget year are repaid in the next year's budget. Deficits result in increased debt.
- Twin deficits refer to the combination of government budget deficit and trade deficit. The relationship between the 2 types of deficit is If the government budget deficit decreases, then the trade deficit would rise. During a recession, both deficits are likely to fall. If the trade deficit increases, so does the government budget deficit. An increase in the government budget deficit can lead to a greater trade deficit, but not always.transfer 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 accountsEffect of fiscal and monetary policy on government budget deficit in Zimbabwe
- Identify one real world example that illustrate how fiscal policy can facilitate economic growth in a countryThe Sultanate of Oman has had extraordinary economic development since 2004, primarily due to the exploitation of its oil reserves. However, growth rates declined in 2019 to 0.5% as oil production remains capped by the OPEC production cut agreement, and also because of the slowdown in household consumption. As percentage of GDP, net exports account to roughly 12%. Oman has a relatively healthy economic and financial situation. Its government debt (estimated at 38.9% in 2019) is small compared to its gold and foreign currency reserves, although is expected to grow in the coming years. As of 2019, government expenditures as a part of GDP accounts to 24.9% (The World Bank, 2021). Oman Private Consumption contribution to GDP has an average share of 40.6 % (CEIC, 2020). The industrial sector accounts for 46.7% of GDP and employs 36.1% of the workforce (World Bank). Its share has increased considerably in the last two decades (employment in industries was as low as 11% in 2000) as Oman…The Sultanate of Oman has had extraordinary economic development since 2004, primarily due to the exploitation of its oil reserves. However, growth rates declined in 2019 to 0.5% as oil production remains capped by the OPEC production cut agreement, and also because of the slowdown in household consumption. As percentage of GDP, net exports account to roughly 12%. Oman has a relatively healthy economic and financial situation. Its government debt (estimated at 38.9% in 2019) is small compared to its gold and foreign currency reserves, although is expected to grow in the coming years. As of 2019, government expenditures as a part of GDP accounts to 24.9% (The World Bank, 2021). Oman Private Consumption contribution to GDP has an average share of 40.6 % (CEIC, 2020). The industrial sector accounts for 46.7% of GDP and employs 36.1% of the workforce (World Bank). Its share has increased considerably in the last two decades (employment in industries was as low as 11% in 2000) as Oman…