PLEASE ASSIGN TO WRITER 677327
Please follow the instruction below for discussion post:
1,An economy is assumed to be operating at full capacity when its real GDP (what the economy produces) equals its potential GDP (what the economy would produce if all factors of production are used). When the economy is producing at full potential, everyone who wants to work can find a job, because every worker who enters the workforce will produce what he or she will eventually consume with the income. In addition, and when the economy is producing at full capacity, unemployment rates in the economy represent the natural rate of unemployment (only frictional and structural unemployment exists), which is also referred to as full employment. When the economy produces what it needs and consumes what it produces, the price level of the final goods and services and the price level of inputs (material and labor) will be at the same. In other words, the rate of change in the price level of goods and services will be equal to the rate of change in income (wages and return to investment).
To ensure the economy continues to operate at potential GDP (full capacity where all savings are invested in production functions and where all those who wish to work can find a job and all other factors of production are fully utilized in the production function), governments use fiscal and monetary policies to lower unemployment rates and to control prices (inflation).
Please review the following videos to better understand both fiscal and monetary policies.
Answer: 7 to 8 sentences
2, Identify and select either an expansionary or contractionary fiscal policies and then select one of the following: unemployment rates, inflation rates, interest rates, private investment, and GDP. Discuss the impact of the fiscal policy on the element/item selected. Was the fiscal policy effective? Why?
Answer 7 to 8 sentences at least with APA references:
2, From 1997 to 2001 the text states that U.S. government was operating profitably. The Congressional Budget Office predicted that all government debt would be paid by 2006. That did not occur. Beginning in 2001 there have been international and national economic and environmental events that have resulted in increased spending and a current deficit that is 104% of GDP. Select one of the significant events and discuss how it impacted the increase in the deficit. Suggest how that debt might be repaid.
Answer 7 to 8 sentences with APA
3, Please post a minimum of two substantive paragraphs (minimum of 8 sentences each) describing what you found to be the most informative or interesting issue for this week from the attached Power points.
Answer in two Paragraphs a minimum of 8 sentences each after reading the attached PPT.
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