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Government Expenditures and Revenues, Budget, National Debt
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.

The Congressional Budget Office (CBO) prepares reports for congress. It is a non-partisan office.

For this Case, please read “The Budget Outlook” section of the CBO’s The Budget and Economic Outlook: Fiscal Years 2009 to 2019 normal;”

http://www.cbo.gov/ftpdocs/99xx/doc9957/01-07-Outlook. pdf

The specific information you need for this case is on page 16 in Table 5. However, there is a great deal of interesting information in this document and I encourage you to look through it and see what it contains.

For question 4 you can access the proposals from the President’s Commission on Deficit Reduction.

http://moneywatch.bnet.com/economic-news/blog/daily-money/deficit-reduction-proposals-what-they-could-mean-for-you/156 7/

For the first two questions use the 2011 figures in the budget tables

1. What are the three major categories of revenues for the federal government? Please comment on each and indicate their relative importance to each other. Relative importance can be indicated by dollar amounts, percent of total revenue or expenditure or, though less informative, by ranking.

2. What are the three major categories of expenditures for the federal government? Please comment on each and indicate their relative importance to each other. Relative importance can be indicated by dollar amounts, percent of total revenue or expenditure, or, though less informative, by ranking.

3. Assume you are the Chief Economic Advisor to the President of the United States and the President has asked you to review the deficit reduction proposals that were submitted by his commission (see link above). Choose the two commission recommendations you agree with the most, and the two you disagree with the most, and write an explanation to the President explaining your 4 choices. Please be detailed rather than general in your recommendation.

4. All major economic indicators show the United States is recovering from the recession but that the process is not as strong as previous recoveries have been. If you were the President what would you do right now to help the economy recover so that the unemployment rate decreases faster than it has over the past two years? I would like specific suggestions or at least well defined generalities.

5. Below is a link to the concepts of aggregate demand (AD) and aggregate supply (AD). Use this information to answer parts A thru D on AD and AS (additional links to this area are in the bibliography section of the syllabus):

http://economics.about.com/od/aggregatedemandsupply/ss/aggregate.htm

A. Describe the AD, AS equilibrium point.
B. Assume the federal government reduces its budget deficit by reducing spending, assume nothing else changes, what affect what affect would that have on the AD?
C. American consumers currently have a high, on average, level of credit card debt If consumers decided to reduce their spending on products and services and, instead, used that money to reduce their debt, what affect would this have on AD and AS?
D. When the federal government offered the “cash for clunkers” car program, how did this affect the AD and AS?

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

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Business cycles: phases, indicators, measures, economic evolution, outlooks
Read the two articles below and do some of your own research on current macro-economic conditions and the business cycle. Use the CyberLibrary or Internet search engines. National economic data are available from the U.S. Department of Commerce, Bureau of Economic Analysis www.bea.gov .

Yellen, Janet L. (2009). The Outlook for 2009: Economic Turmoil and Policy Responses, President’s Speech: Presentation to the Financial Women’s Association. Federal Reserve Bank of San Francisco. Accessed February 16, 2011. This is an interesting recent historical article that still holds true in today’s economy.

In a 4 to 5-page paper focus on the following questions.

ation: underline;”>Please copy the following questions on the title page of your paper

1. The US is currently recovering from its worst recession in over 25 years. Most economists consider the rapid rise in housing prices (the bubble) and the subsequent collapse in that market to be the primary cause of the recession. Explain what housing market circumstances were responsible for the collapse of that market.

2. Economists classify macro-economic indicators as leading, lagging, or coincident. Define each classification and give two examples of each, relating them to the recession that began in 2007 and the recovery that is now under way.

3. All major economic indicators show the United States is recovering from the recession but that the process is not as strong as previous recoveries have been. If you were the President what would you do right now to help the economy recover so that the unemployment rate decreases faster than it has over the past two years?

Case assignment expectations:< ;/strong>

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: 4-5 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. On your demonstrated knowledge of what constitutes a business cycle, its causes, and possible ways to avoid them in the future.

2. Your ability to apply the concepts and knowledge learned in this course to formulate your own ideas about resolving economic difficulties.

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    We employ a number of measures to ensure top quality essays. The papers go through a system of quality control prior to delivery. We run plagiarism checks on each paper to ensure that they will be 100% plagiarism-free. So, only clean copies hit customers’ emails. We also never resell the papers completed by our writers. So, once it is checked using a plagiarism checker, the paper will be unique. Speaking of the academic writing standards, we will stick to the assignment brief given by the customer and assign the perfect writer. By saying “the perfect writer” we mean the one having an academic degree in the customer’s study field and positive feedback from other customers.
  2. Free Revisions

    We keep the quality bar of all papers high. But in case you need some extra brilliance to the paper, here’s what to do. First of all, you can choose a top writer. It means that we will assign an expert with a degree in your subject. And secondly, you can rely on our editing services. Our editors will revise your papers, checking whether or not they comply with high standards of academic writing. In addition, editing entails adjusting content if it’s off the topic, adding more sources, refining the language style, and making sure the referencing style is followed.
  3. Confidentiality / 100% No Disclosure

    We make sure that clients’ personal data remains confidential and is not exploited for any purposes beyond those related to our services. We only ask you to provide us with the information that is required to produce the paper according to your writing needs. Please note that the payment info is protected as well. Feel free to refer to the support team for more information about our payment methods. The fact that you used our service is kept secret due to the advanced security standards. So, you can be sure that no one will find out that you got a paper from our writing service.
  4. Money Back Guarantee

    If the writer doesn’t address all the questions on your assignment brief or the delivered paper appears to be off the topic, you can ask for a refund. Or, if it is applicable, you can opt in for free revision within 14-30 days, depending on your paper’s length. The revision or refund request should be sent within 14 days after delivery. The customer gets 100% money-back in case they haven't downloaded the paper. All approved refunds will be returned to the customer’s credit card or Bonus Balance in a form of store credit. Take a note that we will send an extra compensation if the customers goes with a store credit.
  5. 24/7 Customer Support

    We have a support team working 24/7 ready to give your issue concerning the order their immediate attention. If you have any questions about the ordering process, communication with the writer, payment options, feel free to join live chat. Be sure to get a fast response. They can also give you the exact price quote, taking into account the timing, desired academic level of the paper, and the number of pages.

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