Monetary Policy of Bangladesh Lecture Synopsis: 2 NSU, MBA Program Dr. Salehuddin Ahmed(Sld) BUS 530 (Section – 1 & 2); SPRING, 2013 Introduction Both in developed and developing economies, monetary policy seeks to maintain price stability accompanied by sustained stable output growth in the face of internal and external shocks that are faced from time to time. For developing economies like Bangladesh with significant underemployment/under exploitation of production factors, stimulating
Words: 1717 - Pages: 7
Unit 3 Assignment: Short Answer Question 1 Answer: In the United States, taxes impacts us all and it will never go away, which is why it is important for us all to get a clearer understanding of it. In a scenario in which a friend of mine was to reject having an increased income because of his or her fear of being placed in a higher tax bracket and therefore paying higher tax payments is the wrong mindset for them and anyone else to have. Having that kind of mindset lets me know that they have been
Words: 1558 - Pages: 7
worth to meet three weeks of imports. Under these situations, our currency was devalued to 7.90 against a dollar. So far two major rupee devaluations occurred in 1966 and the early 90s and the present one. The reasons for these devaluations are CAD, Fiscal deficit, soaring inflation, insufficient foreign exchange reserves, decontrol and liberalization. It was mostly at around Rs.45 against a dollar. It touched a high of Rs.39 in 2007. The Indian currency has gradually depreciated since the global 2008
Words: 5359 - Pages: 22
mobilisation and prudent budget management helped maintain macroeconomic stability and discipline in fiscal front. Furthermore, the increasing global demand for goods and services after recovery has helped achieving higher growth in foreign trade, while soaring global food and non-food prices has created inflationary pressure in the country. Alongside adopting various administrative and structural measures, monetary policy instruments have also been used to reduce the inflationary pressure. Moreover
Words: 7602 - Pages: 31
and sell goods. Currently, hard currency is the most traded currency. Countries that acquire this currency status attain a position of stability, economic strength, and military superiority. To qualify for this hard currency status, the country must shore up currency with precious metals; appear politically solid; preserve consistent fiscal and monetary policies; and maintain low levels for inflation. Maintaining low levels of inflation is a major
Words: 1145 - Pages: 5
GDP. As it clearly demonstrates, the higher the unemployment rates, the less production output is made and the higher the prices become for goods and services. Inflation is the progressive increase of prices over time. Increase in prices causes a decrease in the value of money. Inflation also impacts the foreign exchange rates. Its rate represents the changes in prices from year to year. Inflation increases when suppliers are
Words: 2456 - Pages: 10
Question : | Use the figure below to answer the following question: Refer to the above diagram, which shows demand and supply conditions in the competitive market for product X. If the initial demand and supply curves are D0 and S0, equilibrium price and quantity will be: | | | Student Answer: | | 0F and 0C respectively. | | | | 0G and 0B respectively. | | | | 0F and 0A respectively. | | | | 0E and 0B respectively. | | | | Points Received: | 5 of 5 |
Words: 4764 - Pages: 20
of stability in each of the economic environments. * How do changes in the different economic environments impact the business (growth, recession, ripple effect)? * Describe the levels of inflation in each of the economic environments. * What is the availability and cost of credit in the different economic environments? * What is the availability and quality of labour in each of the different economic environments? * Outline any changes in government policy (legal, fiscal and
Words: 1025 - Pages: 5
the small businesses, providing assistance to the unemployed, employing more teachers and increase their pay and investing in the infrastructure (Rotemberg, 2013). Furthermore, the President and the Congress have come up with short-term transitory fiscal expansion to generate jobs. Increasing the public investment and increasing the government expenditure will improve the economy. On the other hand, the President and the Congress have increased the tax rates charged on the small businesses to decrease
Words: 951 - Pages: 4
Q1. The Chinese Government has recently cut 2012 GDP growth forecast to 7.5%. Chinese Government forecast to lower its GDP growth rate to 7.5% from an 8% in place since 2005, a signal that leaders are determined to reduce reliance on exports and capital spending in favor of consumption. In face of global turbulence and a pressing domestic demand for economic restructuring, China forecast a slightly lower GDP growth rate to achieve "higher-level, higher-quality development over a long period of
Words: 1456 - Pages: 6
