Categories
Writers Solution

Amount of taxes in the US is equal to 1400

1. Suppose that the amount of taxes in the US is equal to 1400. Suppose that the government expenditures are equal to 1400 (All numbers in billions of domestic currency)

Given this data, what can you say about the US’s budget (select one)?

  1. In the US they have a Balanced Budget.
  2. In the US they have a Budget Deficit
  3. In the US they have a Budget Surplus

2. Suppose that the amount of taxes in the US is equal to 1400. Suppose that the government expenditures are equal to 1400 (All numbers in billions of domestic currency)

Given this data, what will happen to the US’s national debt (select one)??

  1. National Debt will remain the same.
  2. National Debt will Decrease.
  3. National Debt will Increase.

3. Suppose that the amount of taxes in the US is equal to $1,600.

Suppose that the government expenditures is equal to $2,000.

In addition, you know that the current level of debt in the US is equal to $240,000.

(All numbers in billions of domestic currency.)

Given this data, what is the new level of the US’s debt?

4. Consider the following tax brackets in the US.

Lower tax bracketUpper tax bracketTax rate (%)
$24,999
$25,000$49,99910
$50,000$74,99911
$75,000or higher12

Given this data, what type of taxes do they have in the US (select one)??

  1. Proportional or Flat Taxes
  2. Progressive Taxes
  3. Regressive Taxes

5. Consider the following tax brackets in the US.

Lower tax bracketUpper tax bracketTax rate (%)
$24,99937
$25,000$49,99936
$50,000$74,99935
$75,000or higher34

Suppose that a person earns $91,501

Given this data, what is this person’s marginal tax rate?

6. Consider the supply and demand diagrams for the financial market with interest rates on the vertical axis and quantity of financial capital on the horizontal axis.

Suppose that the government runs a significant budget deficit.

Which graph would most accurately predict the changes observed in the financial market as a result of this budget deficit?

Note that the new curve is shown in gray.

a. S curve shifts left:

b. S curve shifts right:

c. D curve shifts right:

d. D curve shifts left:

7. The graph below shows the AD-AS diagram for the US.

Ch. 17 Problem Set: Question 1: Definition Budget deficit - when the federal government spends more money than it receives in taxes in a given year.Budget surplus - when the government receives more m 1

What type of the GDP gap is observed in the US (select one)??

  1. There is no recessionary or inflationary gap.
  2. The economy is facing an inflationary gap.
  3. The Economy is facing a recessionary gap.

8. The graph below shows the AD-AS diagram for the US.

Ch. 17 Problem Set: Question 1: Definition Budget deficit - when the federal government spends more money than it receives in taxes in a given year.Budget surplus - when the government receives more m 2

What type of fiscal policy should the government of the US be implementing to bring the economy to the long-run equilibrium (select one)??

  1. There is no need for either contractionary or expansionary fiscal policy.
  2. The government should implement contractionary fiscal policy.
  3. The government should implement expansionary fiscal policy.

9. The graph below shows the AD-AS diagram for the US.

Ch. 17 Problem Set: Question 1: Definition Budget deficit - when the federal government spends more money than it receives in taxes in a given year.Budget surplus - when the government receives more m 3

Suppose that the government expenditure multiplier is equal to 6.

By how much should the government increase government expenditures (G) in order to close this recessionary gap?

10. The graph below shows the AD-AS diagram for the US.

Ch. 17 Problem Set: Question 1: Definition Budget deficit - when the federal government spends more money than it receives in taxes in a given year.Budget surplus - when the government receives more m 4

How big is the inflationary gap?

11. The graph below shows the AD-AS diagram for the US.

Ch. 17 Problem Set: Question 1: Definition Budget deficit - when the federal government spends more money than it receives in taxes in a given year.Budget surplus - when the government receives more m 5

Suppose that the government expenditure multiplier is equal to 6.

By how much should the government decrease government expenditures (G) in order to close this inflationary gap?

1This assignment by Lumen Learning is licensed under a Creative Commons Attribution 4.0 International License

GET THE COMPLETED ASSIGNMENT

ASSIGNMENT COMPLETED AT CapitalEssayWriting.com

MAKE YOUR ORDER AND GET THE COMPLETED ORDER

CLICK HERE TO ORDER THIS PAPER AT CapitalEssayWriting.com on Amount of taxes in the US is equal to 1400

NO PLAGIARISM, Get impressive Grades in Your Academic Work

Categories
Writers Solution

Roles of taxes and interest rates in the macro economy, and how the two interact with each other.

Write a 3,500 word paper on  the roles of taxes and interest rates in the macro economy, and how the two interact with each other.