1. What are three economic stances that a government may have? Describe each of these stances. A neutral stance indicates a balanced economy. In most cases, this stance leads to more tax revenue for the government. Expansionary stance is a stance that implies that the government is spending or allocating more money than it collects. Contractionary stance is a stance that implies that the government is collecting more money that it spends or allocates.
2. What are the four different types of economic resources? Describe each type. Land- in the study of economics, land refers not only to physical land, but also to the natural resources that we use, including lumber, minerals, oil, and so on.-Capital- this refers to all of the manufactured tools and aids used to produce consumer goods. In other words, capital includes the tools, machinery, and other items that businesses use to make the products that we buy as consumers. It is worth noting that while we often think of capital as money, economists do not view money as an economic resource as it doesn't produce anything by itself.-Labor- this refers to the physical and mental work necessary to create goods and services.-Entrepreneurial Ability - this refers to the human abilities to find resources, make business decisions, and create new products.
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What is a stock market? What is an example of a stock market? A stock market is a place where stocks or shares in a company are bought and sold. An example of a stock market is the New York Stock Exchange.
4. What is an open outcry? An open outcry is a sort of an auction for stocks in which traders verbally submit their
The Island of Mocha in the video is an example of a traditional economic system evolving into a market system. Every person plays a key role in this traditional system. They had fisherman, coconut collector, melon seller, lumberman, barber, doctor, preacher, brownies seller, and a chief. The Mochans got sick of trading goods all across the island just to get the things that they want or needed. The Chief decided that they would use clam shell for currency instead of trading.
8. According to the book, economic resources are natural, human, and manufactured resources that are classified as land, labor, capital, and entrepreneurial ability; all of which are used in the production of goods and services (pg. 426). These resources are also called factors of production because they assist within the production process. They are also inputs because the goods and services are ingredients to help
You must have something to trade . . . Stock. Stock is a form of a security which is an investment that one makes where the investor is completely dependent on the efforts of another person. There are many benefits to going forward with an IPO. Transitioning from a closely held corporation to a publicly traded corporation can allow the early investors to capitalize financially on their investment. An IPO may also inject much needed capital into the corporation. CB at 800. The sale of securities is regulated by the Securities Exchange Commission (SEC). The SEC created specific laws with the 1933 Act in order to protect investors from fraud, while the 1934 Act provided a private cause of action. CB at 729. For a corporation to sell its stock shares publicly, it must be registered or have an exemption from registration. In registering, the corporation must file a statement providing corporate details concerning its financials and much more information that potential investors would want to know.. CB at
Classical economists such as, Jean Baptiste Say, Adam Smith, David Ricardo, and Thomas Robert Malthus, had a different view about the role of the government in a capitalistic society. The classical economists believed in a laissez-faire economy. They believed that the government should keep their hands off the nation’s economy. They felt that the market will be able to keep itself stable, without the intervention of the government. Jean Baptiste Say believed that supply would create its own demand. The classical economists had an assumption that the aggregate production of goods and services in the economy generate enough income to purchase all output. They also had the assumption that savings by the household sector matches investment expenditures on capital goods by the business sector.
Wildlife tourism has become a particularly popular trend over the years. Riding on elephants, taking pictures with lions, swimming with dolphins are only a few of the adventurous and thrilling activities that wildlife tourism provides. Even my own school is planning a trip to South Africa to participate in several of the enthralling ventures.
The stock market is a centralized area where buyers and sellers comes together to perform stock transaction. When one thinks of the stock market, the first thing comes to mind is Wall Street which is sometimes referred to as the New York Stock Exchange as well as the NYSE.
An IPO is an Initial Public Offering when a company first starts to sell shares to the public. This is the first opportunity that customers will have to purchase such shares when the trading first begins on the IPO.
The first important concept I learned was the ‘goals of monetary policy’. The primary goal of a central bank is price stability (low and stable inflation). Some of the Feds (short for the Federal Reserve Bank) other concerns are:
IPO is an acronym for Initial Public Offering. This is the first sale of stock by a company to the public. A company can raise money by issuing either debt (bonds) or equity. If the company has never issued equity to the public, it's known as an IPO.
Everyone has their own political leaning and that leaning comes from one’s opinion about the Government. Peoples’ opinions are formed by what the parties say they will and will not do, the amounts they want spend and what they want to save. In macroeconomic terms, what the government spends is known as fiscal policy. Fiscal policy is the use of taxation and government spending for the purposes of stimulating or slowing down growth in an economy. Fiscal policy can be used for expansionary reasons, which is aimed at growing the economy and increasing employment, or contractionary which is intended to slow the growth of an economy. Expansionary fiscal policy features increased government spending and decreases in the tax rates as where contractionary policy focuses on lowering government spending and increasing tax rates. It must be understood that fiscal policy is meant to help the economy, although some negative results may arise.
Donald Trump was born in 1946, in Queens, New York city. Donald was a bright and energetic child, so his parents sent him to a military academy at the age of 13. Trump did well at the academy, both socially and academically.During the summers, Trump worked for his father's company at construction sites. Trump graduated Wharton school of finance at the university of Pennsylvania. Like his father, Trump went into real estate. Following the family business. After Donald took over the company in 1971 he got involved in large building projects that would make a high profit. After The Pennsylvania Central Railroad went bankrupt Trump was able to get The yard on the west side of Manhattan. 2016, Trump is the republican presidential nominee.
Therefore, the freedom of action of the policy maker is restricted, as the new policy must function along side existing international policies. Most policies are designed against the background of a theoretical model. However, there is no ‘true’ model and so different policy makers and economists may have different views to certain economic variables. Therefore, each policy maker will formulate different policies based on their views in order to achieve the same objective. For example, Keynesians view that consumption expenditure depends upon current disposable income.
Economic policies, the foundations in which our country 's taxation and economy may be made or broken in a short or long run as a whole. There are many sides to the argument of economic policy, some on the side of the rich, others the poor, and some simply stand in a neutral position to help provide the best they can. The ideas of supply-side, demand-side, and monetary policies each have their own unique and individual strengths that have given many different advantages to the country over the years. However, they also are always at odds with each other over which policy works the best, how we can monetize the country, and how we can secure income and jobs for everyone. Through each of their individual merits each policy grants a purpose that
Government economic policy is concerned with influencing or controlling the behaviour of the economy. It is the implementation and administration of policies typically implemented by the government. Economic policy is often focused on decisions made in regards to government spending and taxation, the redistribution of income from rich to poor and the supply of money. Economic policy directly affects global issues as decision by government dictate events in the economy. A prominent example of economic policy as a result of global issues would be the decisions made by the UK government after the global financial crisis. Following a period of economic boom, a financial bubble burst this occurred on a global scale. This resulted in some of the world’s largest financial institutions to collapse. With the preceding recession, the UK government and many others resorted to large-scale bailout and rescue packages for the surviving banks and financial institutions and alternatively imposing harsh austerity measures on themselves to decrease economic spending. This recession saw governments globally lending large sums of money to funnel into the economy to ensure survival; this takes me on to the next example the issue of global debt. This directly affects decisions made by the UK government in regards to economic policy. In recent times the new Conservative government has made extensive cutbacks in health, education and other vital social services such as welfare and benefits. These structural adjustment policies are aimed at reducing economic debt; however these recent cuts have seen many UK households struggling to survive and have landed a solid blow to the increasing poverty situation in the UK. Although the Conservative government jus...
A Stock Exchange is an organized market for buying and selling financial instruments known as securities, which include stocks, bonds, options, and futures. Most stock exchanges have specific locations where the trades are completed. For the stock of a company to be traded at these exchanges, it must be listed, and to be listed, the company must satisfy certain requirements. But not all stocks are bought and sold at a specific site. Such stocks are referred to as unlisted. Many of these stocks are traded over the counterthat is, by telephone or by computer.