Laffer Curveand its association to supply side economics
Describe the Laffer Curve and how does it associate to supply side economics?
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Economist Arthur Laffer observed that tax revenues would clearly be zero while the tax rate was either at 0% or 100%. Among these two extremes ought to be an optimal rate where aggregate output & income created the maximum tax revenues.
Describe risks related with using a large amount of short-term financing for working capital? By using a large amount of short-term financing usually allows funds to be raised at a lower cost however raise the firm's risk.
Describe Global Economic Crises during 2007-2008 ?
Given is a production possibilities table for consumer goods (automobiles) and capital goods (forklifts): Illustrates these data graphica
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Budget Bill: The legislation symbolizing the Governor’s proposal for spending authorization for the subsequent fiscal year. The Budget Bill is all set by the Department of Finance and submitted to each house of the Legislature i
Governor's Budget: The publication the Governor represents to the Legislature, by January 10 every year. It has recommendations and approximates for the state’s financial operations for the budget year. This also displays the real revenues and e
Clarify the duties of the financial manager within a business firm.Financial managers measure the firm's performance, find out what the financial consequences will be if the firm maintains its present course or changes it, and suggest how the fi
Explain LBO? Describe risks for the equity investors and also describe potential rewards? A leveraged buyout is purchase of publicly owned corporation through a small group of investors by using a large amount of borrowed money. The risks for
How does the market find out the fair value of a bond?The fair value of bond is the present value of the bond's coupon interest payments plus the present value of the face value payment at maturity, discounted at the market's required rate of re
What is in store for banking consolidation? Merger activity is a natural procedure by which companies make themselves more efficient and better capable to compete for customers. The banking industry is no exception
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