Principles of Economics 2e
2nd Edition
ISBN: 9781947172364
Author: Steven A. Greenlaw; David Shapiro
Publisher: OpenStax
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Textbook Question
Chapter 31, Problem 17CTQ
Explain how decreased domestic investments that occur due to a budget deficit will affect future
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An emerging country has a real GDP of $ 1330.1 billion. After one year, real GDP has grown to $ 1383 billion. In percentage terms, what is the growth rate? Please round your answer to the nearest whole number.
Chapter 31 Solutions
Principles of Economics 2e
Ch. 31 - In a country, private savings equals 600, the...Ch. 31 - Assume an economy has a budget surplus of 1,000,...Ch. 31 - In the late 1990s, the U.S. government moved from...Ch. 31 - Imagine an economy in which Ricardian equivalence...Ch. 31 - Why have many education experts recently placed an...Ch. 31 - What are some steps the government can take to...Ch. 31 - Based on the national saving and investment...Ch. 31 - How would you expect larger budget deficits to...Ch. 31 - Under what conditions will a larger budget deficit...Ch. 31 - What is the theory of Ricardian equivalence?
Ch. 31 - What does the concept of rationality have to do...Ch. 31 - What are some of the ways fiscal policy might...Ch. 31 - What are some fiscal policies for improving a...Ch. 31 - What are some fiscal policies for improving the...Ch. 31 - Explain how cuts in funding for programs such as...Ch. 31 - Assume there is no discretionary increase in...Ch. 31 - Explain how decreased domestic investments that...Ch. 31 - The U.S. government has shut down a number of...Ch. 31 - Explain how a shift from a government budget...Ch. 31 - Describe how a plan for reducing the government...Ch. 31 - Explain whether or not you agree with the premise...Ch. 31 - Explain why the government might prefer to provide...Ch. 31 - Under what condition would crowding out not...Ch. 31 - What must take place for the government to run...Ch. 31 - Sketch a diagram of how a budget deficit causes a...Ch. 31 - Sketch a diagram of how sustained budget deficits...Ch. 31 - Assume that the newly independent government of...Ch. 31 - Illustrate the concept of Ricardian equivalence...Ch. 31 - During the most recent recession, some economists...
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- Identify 4 public policies that can stimulate employment and facilitate economic growth in an economy.arrow_forwardExplain how the government can use fiscal policy for capital formation in the process of economic development?arrow_forwardWhat are Two ways in which the manufacturing sector can contribute to economic growtharrow_forward
- As an economic and accounting analyst, which of the two should a government pay more attention for domestic and economic growth? increase importation of goods and services increase export of goods and services Choose the best answer and explain.arrow_forwardAn emerging country has a real GDP of $1553.1 billion. After one year, real GDP has grown to $1677 billion. In percentage terms, what is the growth rate? Please round your answer to the nearest whole number. growth rate:arrow_forwardShow graphically and explain how an increase in government expenditures on education affects real wage rates and economic growth.arrow_forward
- Please explain the effect of public expenditure on economic growth?arrow_forwardDiscuss the following questions and prepare a final answer : 1.How do you expect COVID-19 to affect Economic Growth:for Canada and for the World in general? 2.Budget Deficit in light of COVID-19: What it means forCanada?arrow_forwardTHREE reasons why some Government policy does NOT increase productivity and economic growth. Ensure that you provide a relevant real-world example.arrow_forward
- How can an increase in government spending boost economic growthand reduce unemployment in South Africa?arrow_forwardInternational data show a positive correlation between political stability and economic growth. Give another example of a country where no strong economic growth because of no political stability. Explain why.arrow_forwardDescribe Factors that may hinder economic growtharrow_forward
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