In the United States, many observers have commentedin recent years on the “political gridlock in WashingtonD.C.” and referred to Congress as a “Do NothingCongress.” What type of policy lag is this describing?

Q: Discuss some of the difficulties that may arise from enacting and carrying out fiscal policy and why…

A: Macroeconomic analysis provides a comprehensive picture of the financial status of an economy. It…

Q: Give an example of a monetary policy action that could produce an increase in aggregate demand. Give…

A: AD(aggregate demand) is the sum of C(consumption), I(investment), G(government spending) in closed…

Q: If stability of the economy is the primary objective of Fiscal Policy, then an Annually Balanced…

A: An annual balanced budget refers to when the spending of the government during a fiscal year equals…

Q: From 2008, how might monetary policy (as reflected in the OCR) have affected the degree of crowding…

A: Monetary policy refers to change in money supply and money demand by central banks through open…

Q: Please, provide me articles talk about key factors that policymakers should consider when…

A: Tax rates refer to the percentage or proportion of the income of individuals or entities, assets, or…

Q: Compare and contrast the strengths and weaknesses of fiscal policy and monetary policy.

A: Fiscal policy is also known as the budgetory policy of the government. Monetary and Fiscal policy…

Q: Assume that in a hypothetical country, coal mining is a significant industry, hiring a high…

A: During a downturn, expansionary fiscal policy is employed to push the country. It improves economic…

Q: enges are unique to fiscal policy (but that monetary policy makers can avoid)? How do monetary…

A: a. Some challenges are : One of the primary objective of monetary policy is targeting of inflation.…

Q: Right now many economies in the world are experiencing a downturn due to the Corona Virus. a) What…

A: Hello, thank you for the question. Since there are multiple subpart questions posted here, only the…

Q: Which of the following could NOT be contractionary fiscal policy tool? OA) decreasing government…

A: Decreasing taxes is an expansionary economic policy tool, not a contractionary one. Contractionary…

Q: Why do critics charge that fiscal policy has a “big-government bias”?

A: Answer-Fiscal policy is the notion that government should actively stimulate the economy in bad…

Q: List what specific, deliberate actions the federal government could take to enact expansionary…

A: Expansionary fiscal policy is aimed at increasing aggregate demand when the economy is in a…

Q: What specific fiscal policy tools would you use to stimulate aggregate demand and how? also include…

A: Fiscal policy tools use to stimulate aggregate demand:To stimulate the aggregate demand, the fiscal…

Q: crowding out

A: Macroeconomy is a concept which considers the economy as a whole. It includes all the policies taken…

Q: How much should we worry about the national debt?

A: The outstanding financial commitments of a nation are what are meant to be referred to as its…

Q: hat would you recommend the federal government due to close our current recessionary output gap? Use…

A: The economies around the globe are involved in various economic and financial activities. These…

Q: Name at least one fiscal policy and one monetary policy the federal government enacted in response…

A: Fiscal policy: The use of government spending and taxation policies to influence economic activity,…

Q: What is fiscal policy? When should fiscal policy be used? Are there any negatives associated with…

A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…

Q: Why is getting the magnitude, or dollar size, of the policy change just right the most difficult…

A: Discretionary fiscal policy is a government policy used for raising the aggregate demand/ spending…

Q: Ricardian equivalence: Suppose that the government fears the economy mightbe heading into a…

A: Ricardian equivalence: - it is the theory given by David Ricardo which states that the consumers…

Q: Fiscal policCy is purposet movements in designed to direct an economy.

A: Fiscal policy is a policy that the government uses to influence the economy. It aims at certain…