Problem on tax and spend at possible level of GDP
Refer to columns 1 and 6 of the tabular data given below. Incorporate government in the table by supposing that it plans to tax and spend $20 billion at every possible level of GDP.
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Before G is added, open private sector equilibrium will be at $350. The addition of government expenditures of G to our analysis raises the aggregate expenditures (C + Ig +Xn + G) schedule and increases the equilibrium level of GDP as would an increase in C, Ig, or Xn. Note down that modification in government spending are subject to the multiplier effect. Government spending supplements private investment and export spending (Ig + X + G), rising the equilibrium GDP to $450.
Describe the P/E valuation method. Under what conditions a stock should be valued by using this method?The P/E ratio denotes how much investors are keen to pay for each dollar of a stock's earnings. A high P/E ratio denotes that investors belie
Year of Completion (YOC): This is the last fiscal year for which the appropriation is accessible for encumbrance or expenditure.
Statewide Cost Allocation Plan (SWCAP): It is the amount of state administrative, General Fund costs (example, amounts expended by the central service departments like the State Personnel Board, State Treasurer’s Office, State C
Overhead Unit: The organizational unit which benefits the production of an article or a service however that can’t be directly related with an article or service to share out all of its expenditures to elements and/or work authorizations. The co
Clarify retained earnings? Describe importance of this? Retained earnings represent the sum of all the earnings available to common stockholders of a business at the time of its entire history, minus the tota
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What is Appropriation Without Regard To Fiscal Year (AWRTFY): The appropriation for a particular amount that is obtainable from year to year until completely expended.
Programs: The activities of an association grouped on the basis of common objectives. The programs are included of elements that can be further classified into tasks and components.
Summary Schedules: Different schedules in the Governor’s Budget Summary that summarize state revenues, expenditures and other fiscal and personnel data for the past, present, and budget years.
Character of Expenditure: A classification recognizing the major purpose of expenditure, like State Operations, Local Assistance, Capital Outlay, or Unclassified.
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