trident eco202 module 3 case study and SLP
Macro-economic choices, particularly in the areas of fiscal policy, are not just about economics but about political philosophies, values and goals. This Case asks you to think about some of these dimensions.
1. Do all government purchases have the same effect on aggregate demand? Defend your answer with economic reasoning.
2. Suppose a country increases government purchases by $100 billion. Suppose the multiplier is 1.5 and the economy’s real GDP is $5,000 billion.
a. In which direction will the aggregate demand curve shift and by how much?
b. Why is the change in real GDP is likely to be smaller than the shift in the aggregate demand curve?
3. Read the Case in Point: Crowding Out in Canada in Section 12.3 (click here) and answer the following:
a. What is “crowding out,” and how does it reduce private investment?
b. Given that only certain types of government expenditures crowded out private investment, what are the implications for fiscal policy choices?
Case assignment expectations:
Use information from the modular background readings as well as any good quality resource you can find. Make sure you cite all resources you use and provide a reference list at the end of your paper.
LENGTH: 4 typed and double-spaced pages.
In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:
1. Analytical skills that allow you to draw conclusions, questions 3,4 and 5 on federal budget projections.
2. Critical thinking skills, question 5, on formulating policy about budgetary matters.
module 3 SLP
You are to place yourself in the position of being a paid lobbyist for your organization. Pick two or three major fiscal policy initiatives you would lobby Congress about. However, this is not in general, this is for your organization, not for the economy as a whole, so make sure to take that specific focus. Again, if you're using an unconventional organization, you may have to get a little creative here.
1. As your organization's lobbyist, what would you like to see done by the Federal government that would be of help to your organization? As a lobbyist it is not your job to be concerned with the deficit, or the environment, or the general health of the financial system (unless, of course, you are lobbying for an environmental, financial, or deficit reduction group). Your answer to this question can give an interesting perspective as to how lobbying can distort economic policy and decisions. CAUTION: I am not looking for general comments that could apply to the country as a whole or any given organization, what I want is comments that are relevant specifically to your organization.
There are three articles below on the pros and cons of lobbying, feel free to google the subject to find more:
http://dbp.idebate.org/en/index.php/Debate:_Lobbying
http://www.chiff.com/society/lobby.htm
http://www.reuters.com/article/2009/09/13/obama-lobbying-idUSN1348032520090913
2. The majority of lobbying efforts centers around fiscal policy. Please discuss your opinions on lobbying regarding if it is useful and should continue as is, if it should continue but with constraints to limit how much is done, or if it should be eliminated.
SLP assignment expectations:
Use information from the modular background readings as well as any good quality resource you can find. Make sure you cite all resources you use and provide a reference list at the end of your paper.
LENGTH: 2-3 typed and double-spaced pages.
In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:
1.. Analytical ability in relating Federal policies to the specifics of your organization.
2. Your ability to relate Federal government activity to your specific organization.
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Rating:
/5
Solution: trident eco202 module 3 case study and SLP