...Problem Set 3 1. Will increases in government spending financed by borrowing help promote a strong recovery from a severe recession. Why or why not? * Yes. The Keynesian view that private spending will decline during a recession and that the government needs to expand its spending in order to restart the private sector. 2. Does fiscal policy have a strong impact on aggregate demand? Did the shift of the federal budget from deficit to surplus during the 1990s weaken aggregate demand? Did the government spending increases and large budget deficits of 2008–2011 strengthen aggregate demand? Discuss. * Aggregate demand does not depend on fiscal policy. So, therefore it has no impact. * It does not indicate if it had a strong or negative impact or not. * the growth of real output and income during the next decade shold be strong, if the Keynesian are right. 3. What is the current rate of unemployment? (See bls.gov and state the month you are reporting.) How rapidly has GDP grown during the past 3 years? (See bea.gov and state the annual growth rate for each year.) What do these figures indicate about the validity of the Keynesian view? * 6.1% in Aug 2014 * 2011: 1.8 * 2012: 2.2 * 2013: 1.3 It indicates that the GDP has very litte impact than what they expected. 4. Are changes in discretionary and fiscal policy likely to be instituted in a manner that will reduce the ups and downs of the business cycle? Why or why not? *...
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...short run it increases due to an increase in the money supply, but then it decreases in the long run as the real money supply is reduced by price increases over time. However it will not go back to its original level. It will be higher by the same percentage as the money supply has been increased by. Monetary policy has different effects in the short run and the long run. Expansionary monetary policies designed to reduce short-term interest rates and spur full employment and economic growth eventually lead to higher interest rates as they induce inflation. This means that monetary policy must be carefully applied. If the Fed introduces a monetary stimulus, they must also plan to remove the stimulus in order to prevent future inflation. The problem for policymakers is in timing the policy....
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...liberty university econ 214-d08 (Your Name) Econ 214 Problem Set 3 Complete all questions listed below. Clearly label your answers. 1. Will increases in government spending financed by borrowing help promote a strong recovery from a severe recession. Why or why not? 2. Does fiscal policy have a strong impact on aggregate demand? Did the shift of the federal budget from deficit to surplus during the 1990s weaken aggregate demand? Did the government spending increases and large budget deficits of 2008–2011 strengthen aggregate demand? Discuss. 3. What is the current rate of unemployment? (See bls.gov and state the month you are reporting.) How rapidly has GDP grown during the past 3 years? (See bea.gov and state the annual growth rate for each year.) What do these figures indicate about the validity of the Keynesian view? 4. Are changes in discretionary and fiscal policy likely to be instituted in a manner that will reduce the ups and downs of the business cycle? Why or why not? This assignment is due by 11:59 p.m. (ET) on Monday of Module/Week 4. Answer No. 1 In case of financial recession, there is a shortage of funds in the country. The people living in the country do not have enough money and government is also not able to provide enough subsidies to them. One of the ways to avoid the recessionary conditions and ensure better support to the economy is borrowing money from abroad. Borrowing of funds from other countries might...
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...Problem Set 4 Candace M. McDonald (Tomas) Liberty University Online Lynchburg, Virginia Submitted in Accordance With ECON 214 Problem Set 4 What determines whether a financial asset is included in the M1 money supply? First we need to understand that money is a medium of exchange. A medium of exchange is defined as “ an asset that is used to buy and sell goods or services”. What financial assets in our society are considered an asset for buying and selling goods or services? Of course our physical currency, coins and paper bills fall under this category. Besides currency, most daily transactions are through some sort of checkable deposits. Checkable deposits are split into two different categories, demand deposits and checkable deposits. Then lastly, traveler's checks are used for payment and is considered under M1 money supply. These four financial assets have one thing in common. They can be used for payment essentially right away. No conversions are necessary for payment to be accepted. Once a financial asset needs to be converted into a checking account or cash this would fall into M2 money supply. Why are interest-earning checkable deposits included in M1, whereas interest-earning savings accounts and Treasury bills are not? Interest-earning checkable deposits fall under M1 because the financial asset is instant funds or cash. Interest-earning savings accounts and treasury bills need to be converted to cash or available...
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...Problem Set 5 Liberty University Feb 17 28, 2013 ECON 214 D14 Principles of Macroeconomics 1. What impact will an unanticipated increase in the money supply have on the real interest rate, real output, and employment in the short run? How will expansionary monetary policy affect these factors in the long run? Explain. When income rises, more people are placed in the region above the no tax due cutoff. Others find themselves pushed into a higher tax brackets. Therefore, the process of an economical expansion, revenue from the personal income tax increases more swift than income. Over a short run, this will lead to improved margins in profit for businesses who will lead to the expansion of the output through utilization of more resources. In the short run, unemployment rate will fall. 2. How rapidly has the money supply (M1) grown during the past twelve months? State the rate of growth (use http://www.federalreserve.gov/releases/h6/) and the most recent release, use the seasonally adjusted figures. Calculate the rate of growth across the year by taking the (new amount of M1- old amount of M1)/old amount of M1). Given the state of the economy, should monetary authorities increase or decrease the growth rate of money? Explain why. The Money supply has grown in a steady state. In the year 2013 the rate of growth is: (26-24)/24 = 0.08333. The monetary authorities should increase the growth rate of money. The growth rate in this case is very low and cannot meet...
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...2012-2013 PAWNSHOPS AND BEHAVIORAL ECONOMICS 193 PAWNSHOPS, BEHAVIORAL ECONOMICS, AND SELF-REGULATION SUSAN PAYNE CARTER* AND PAIGE MARTA SKIBA** I. Introduction Pawnbroking is the oldest source of credit.1 There is growing public interest in day-to-day pawnbroking operations, as evidenced by the popularity of reality shows such as “Pawn Stars” and “Hardcore Pawn.”2 Television viewers’ curiosity about an old credit institution may be due to the fact that 7% of all U.S. households have used pawn credit.3 Although pawnshops predate biblical times, researchers know surprisingly little about this ancient form of banking and its customers.4 We fill this gap by documenting detailed information on pawnshop loan repayment and default, and by discussing how pawnshop borrowers’ behavior is consistent with various behavioral economics phenomena. Pawnshop loans are small, short-term, collateralized loans typically used by low-income consumers. The borrower leaves a possession, or “pledge,” as collateral in exchange for a loan, typically of $75–$100.5 Interest rates vary by state and range from 2 Assistant Professor, Office of Economic and Manpower Analysis, United States Military Academy. susan.carter@usma.edu. The views expressed in this paper do not necessarily represent those of the United States Military Academy, the United States Army, or the Department of Defense. ** Associate Professor of Law, Vanderbilt University...
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...2012-2013 PAWNSHOPS AND BEHAVIORAL ECONOMICS 193 PAWNSHOPS, BEHAVIORAL ECONOMICS, AND SELF-REGULATION SUSAN PAYNE CARTER* AND PAIGE MARTA SKIBA** I. Introduction Pawnbroking is the oldest source of credit.1 There is growing public interest in day-to-day pawnbroking operations, as evidenced by the popularity of reality shows such as “Pawn Stars” and “Hardcore Pawn.”2 Television viewers’ curiosity about an old credit institution may be due to the fact that 7% of all U.S. households have used pawn credit.3 Although pawnshops predate biblical times, researchers know surprisingly little about this ancient form of banking and its customers.4 We fill this gap by documenting detailed information on pawnshop loan repayment and default, and by discussing how pawnshop borrowers’ behavior is consistent with various behavioral economics phenomena. Pawnshop loans are small, short-term, collateralized loans typically used by low-income consumers. The borrower leaves a possession, or “pledge,” as collateral in exchange for a loan, typically of $75–$100.5 Interest rates vary by state and range from 2 Assistant Professor, Office of Economic and Manpower Analysis, United States Military Academy. susan.carter@usma.edu. The views expressed in this paper do not necessarily represent those of the United States Military Academy, the United States Army, or the Department of Defense. ** Associate Professor of Law, Vanderbilt University...
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...Netscape's public offering in 1995.' Bullish investors believed Google could set off a string of successful IPOs and put an end to a fouryear lull in technology offerings. 2 Executives at Google faced several questions in the following months, beginning with whether or not to sell shares to the public market.' If they made the decision to take the company public, what options did Google have for selling those shares? Was the traditional form of book-building through an investment bank necessarily the best course of action? As large investment banks were courting Google's potentially enormous business, management had to evaluate the different options available for a company ready to move forward. Ultimately, Google chose to sell its stock through W.R. Hambrecht + Co.'s OpenIPO, which was modeled on auction-based offering formats in France, Japan and elsewhere. In 2004, Hambrecht's track record of success was mixed at best and even today the future of this IPO format in the United States is far from certain. IN THE SPRING OF 2004, GOOGLE WAS ONE OF THE MOST TALKED-ABOUT I. HISTORY AND BUSINESS MODEL In 1995, Larry Page, 24, and Sergey Brin, 23, first met as Stanford University computer science graduate students.4 Their company Web site describes that first encounter as a clash of personalities that eventually led to their now-famous creative solution for retrieving relevant information from large sets of data.' At the time, search engines, for the most part, ranked search results...
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...UNDERGRADUATE REGULATIONS & SYLLABUSES 2014 - 2015 THE FACULTY OF SOCIAL SCIENCES TABLE OF CONTENTS MESSAGE FROM THE DEAN ............................................................. 3 UNDERGRADUATE PROGRAMMES ................................................ 4 ACADEMIC CALENDAR 2014-2015 ................................................ 5 DEFINITIONS ...................................................................................... 13 GENERAL INFORMATION & REGULATIONS .............................. 14 General Regulations for Bachelor of Science Degrees 14 Special Regulations for Degrees in Hospitality and Tourism Management........................................................... 27 Franchise Agreements .......................................................... 27 EVENING UNIVERSITY -GENERAL INFORMATION & REGULATIONS ................................................................................... 28 General Regulations for Bachelor of Science Degrees 28 General Regulations for Diploma Programmes ............ 36 General Regulations for Certificate Programmes ......... 37 STUDENT PRIZES .............................................................................. 38 CODE OF CONDUCT ........................................................................ 39 UNIVERSITY REGULATIONS ON PLAGIARISM .......................... 40 THE ACADEMIC SUPPORT/ DISABILITIES LIAISON UNIT (ASDLU) ..............................................................................................
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...THE FUTURE OF FORECLOSURE LAW IN THE WAKE OF THE GREAT HOUSING CRISIS OF 2007-2014 Clinical Professor of Law Notre Dame Law School Judith Fox 54 WASHBURN L. J. (forthcoming, 2015) Notre Dame Law School Legal Studies Research Paper No. 1504 A complete list of Research Papers in this Series can be found at: http://www.ssrn.com/link/notre-dame-legal-studies.html This paper can be downloaded without charge from the Social Science Research Network electronic library at http://ssrn.com/abstract=2573203 Electronic copy available at: http://ssrn.com/abstract=2573203 The Future of Foreclosure Law in the Wake of the Great Housing Crisis of 2007-2014 Judith Fox* ABSTRACT As 2014 came to an end so, perhaps, did the worst foreclosure crisis in U.S. history. On January 15, 2015, RealityTrac, one of the nation’s leading reporters of housing data, declared the foreclosure crisis had ended. Whether or not their declaration proves true, the aftermath of the crisis will be felt for years to come. During the crisis it is estimated more than five million families lost their homes to foreclosure. Federal, state and local responses to the crisis changed laws and perceptions regarding foreclosure. Despite these changes, we end the crisis much the way we began---with a nationwide foreclosure system mistrusted and disliked by lenders and consumers alike. This paper examines the responses to the crisis in an effort to determine what worked, what did not, and where foreclosure law should...
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...Critical Writing Assignment 4: Free Markets: Classical Economic Definitions & Perspectives Professor Marlo Chavarria 201420 Spring 2014 ECON 350-D02 LUO Cameron L. Atkinson Student-Liberty University Online Abstract This essay examines the concept of a free market and the various interpretations of classical economists. The author begins by defining a free market from a classical perspective. He then proceeds to examine the interpretation of David Ricardo, which leaned somewhat to laissez-faire economics, the interpretation of John Stuart Mill, which was complex and indecisive, and the interpretation of Karl Marx, which argued against the concept of a free market. The essay concludes by discussing the complexity of the debate and the unanswered questions it still presents to modern economists. Keywords: free market, free market system, David Ricardo, John Stuart Mill, Karl Marx Introduction The majority of classical economists based their work on the concept of a free market system (Sowell, 2006). However, they often had varying interpretations of a free market. These different perspectives have led to confusion about the true definition of a free market. This essay will first define a free market from a classical perspective and then examine David Ricardo’s, John Stuart Mill’s, and Karl Marx’s interpretations of a free market. Their views compose the three major schools of classical economic thought regarding a free market, and they have shaped the way society...
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...Chapter 1 Business Information Systems in Your Career Multiple Choice Questions 1. One of the recent critical challenges facing Major League Baseball was: a. b. c. d. poor coordination between local and national sales channels. poorly managed sales channels. outdated information systems. decreasing ticket sales. Difficulty: Medium Reference: p. 3 Answer: d 2. The six important business objectives of information technology are new products, services, and business models; customer and supplier intimacy; survival; competitive advantage, operational excellence, and: a. b. c. d. improved flexibility. improved decision making. improved business practices. improved efficiency. Difficulty: Easy Reference: p. 6 Answer: b 3. Dell Computer's use of information systems to improve efficiency and implement "mass customization" techniques to maintain consistent profitability and an industry lead illustrates which business objective? a. b. c. d. Improved flexibility Improved business practices Competitive advantage Survival Difficulty: Hard Reference: p. 8 Answer: c 4. The use of information systems because of necessity is: a. b. c. d. survival improved business practices competitive advantage improved flexibility Difficulty: Medium Reference: p. 9 Answer: a 5. (Analysis) Which of the following choices may lead to competitive advantage (1) new products, services, and business models; (2) charging less for superior products; (3) responding to customers in real-time? a. b. c. d. 1 only 1 and 2...
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...American Business Law Journal Volume 45, Issue 2, 283–330, Summer 2008 The Impact of Compulsory Licensing on Foreign Direct Investment: A Collective Bargaining Approach Robert Birdn and Daniel R. Cahoynn I. INTRODUCTION The need to facilitate access to essential medicines for those with lifethreatening or fatal diseases like HIV, tuberculosis, and malaria has generated significant interest. Yet, an inevitable tension exists between the need for pharmaceutical companies to profit from their patented inventions and the desire to provide access for impoverished persons. Developing nations have attempted to resolve this tension through the issuance of patent compulsory licensesFauthorizations for government-approved generic copies1Fso that those in need of the n Assistant Professor of Business Law, School of Business, University of Connecticut. This article received the Holmes-Cardozo Award for Outstanding Submitted Conference Paper as well as the Ralph J. Bunche Best Paper Award at the Academy of Legal Studies in Business Annual Meeting, Indianapolis, IN, August 2007. Our thanks for comments and support go to Jayashree Watal, Peter Yu, Douglas Lippoldt, and the other participants at the University of Connecticut’s Center for International Business Education and Research Conference, ‘‘The Impact of Intellectual Property Rights on Innovation, Knowledge Diffusion, and Foreign Direct Investment in the Global Economy,’’ Storrs, CT, May 2007. Additional thanks to Anthony Kwasnica and...
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...SUBJECT REVIEW Regression Methods in the Empiric Analysis of Health Care Data GRANT H. SKREPNEK, PhD ABSTRACT OBJECTIVE: The aim of this paper is to provide health care decision makers with a conceptual foundation for regression analysis by describing the principles of correlation, regression, and residual assessment. SUMMARY: Researchers are often faced with the need to describe quantitatively the relationships between outcomes andpre d i c t o r s , with the objective of ex p l a i n i n g trends, testing hypotheses, or developing models for forecasting. Regression models are able to incorporate complex mathematical functions and operands (the variables that are manipulated) to best describe the associations between sets of variables. Unlike many other statistical techniques, regression allows for the inclusion of variables that may control for confounding phenomena or risk factors. For robust analyses to be conducted, however, the assumptions of regression must be understood and researchers must be aware of diagnostic tests and the appropriate procedures that may be used to correct for violations in model assumptions. CONCLUSION: Despite the complexities and intricacies that can exist in re gre s s i o n , this statistical technique may be applied to a wide range of studies in managed care settings. Given the increased availability of data in administrative databases, the application of these procedures to pharmacoeconomics and outc o m e s assessments may result in...
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...Boston College Environmental Affairs Law Review Volume 39 | Issue 2 Article 7 6-1-2012 Accounting for Emissions Trading: How Allowances Appear on Financial Statements Could Influence the Effectiveness of Programs to Curb Pollution Laura E. Souchik Follow this and additional works at: http://lawdigitalcommons.bc.edu/ealr Part of the Environmental Law Commons Recommended Citation Laura E. Souchik, Accounting for Emissions Trading: How Allowances Appear on Financial Statements Could Influence the Effectiveness of Programs to Curb Pollution, 39 B.C. Envtl. Aff. L. Rev. 475 (2012), http://lawdigitalcommons.bc.edu/ealr/vol39/iss2/7 This Notes is brought to you for free and open access by the Law Journals at Digital Commons @ Boston College Law School. It has been accepted for inclusion in Boston College Environmental Affairs Law Review by an authorized administrator of Digital Commons @ Boston College Law School. For more information, please contact nick.szydlowski@bc.edu. ACCOUNTING FOR EMISSIONS TRADING: HOW ALLOWANCES APPEAR ON FINANCIAL STATEMENTS COULD INFLUENCE THE EFFECTIVENESS OF PROGRAMS TO CURB POLLUTION Laura E. Souchik* Abstract: Cap-and-trade programs to curb carbon emissions frequently rely on the use of tradable emissions credits known as “allowances.” To date, companies' presentations of their usage of these allowances on their financial statements has not been uniform. Cap-and-trade programs will be most effective when presentation of allowances on...
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