The projected deficit in 2017 is $28.5 billion and there is no timeline for a return to
Question:
The projected deficit in 2017 is $28.5 billion and there is no timeline for a return to surplus.
a. Explain the effect of the ongoing budget deficit on the loanable funds market.
b. What effect does the budget deficit have on the real interest rate, private saving, and investment?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (2 reviews)
a The ongoing budget deficit can affect the loanable funds market by increasing the demand for loanable funds When the government runs a deficit it ne...View the full answer
Answered By
Saikumar Ramagiri
Financial accounting:- Journal and ledgers, preparation of trail balance and adjusted trail balance Preparation of income statement, retained earning statement and balance sheet Banks reconciliation statements Financial statement analysis Cash flow statement analysis (both direct and indirect methods) All methods of Depreciations Management Accounting:- Ratios Budgeting control Cash budget and production budget Working capital management Receivable management Costing:- Standard and variance costing Marginal costing and decision making Cost-volume-profit analysis Inventory management (LIFO, FIFO) Preparation and estimation of cost sheet Portfolio management:- Calculation of portfolio standard deviation or risk Calculation of portfolio expected returns CAPM, Beta Financial management:- Time value of money Capital budgeting Cost of capital Leverage analysis and capital structure policies Dividend policy Bond value calculations like YTM, current yield etc International finance:- Derivatives Futures and options Swaps and forwards Business problems Finance problems Education (mention all your degrees, year awarded, Institute/University, field(s) of major): Education Qualification Board/Institution/ University Month/Year of Passing % Secured OPTIONALS/ Major ICWAI(inter) ICWAI inter Pursuing Pursuing - M.com(Finance) Osmania University June 2007 65 Finance & Taxation M B A (Finance) Osmania University Dec 2004 66 Finance & Marketing. B.Com Osmania University June 2002 72 Income Tax, Cost & Mgt, Accountancy, Auditing. Intermediate (XII) Board of Intermediate May 1999 58 Mathematics, Accountancy, Economics. S S C (X) S S C Board. May 1997 74 Mathematics, Social Studies, Science. Tutoring experience: • 10 year experience in online trouble shooting problems related to finance/accountancy. • Since 6 Years working with solution inn as a tutor, I have solved thousands of questions, quick and accuracy Skills (optional): Technical Exposure: MS Office, SQL, Tally, Wings, Focus, Programming with C Financial : Portfolio/Financial Management, Ratio Analysis, Capital Budgeting Stock Valuation & Dividend Policy, Bond Valuations Individual Skills : Proactive Nature, Self Motivative, Clear thought process, Quick problem solving skills, flexible to complex situations. Achievements : 1. I have received an Award certificate from Local Area MLA for the cause of getting 100% marks in Accountancy during my Graduation. 2. I have received a GOLD MEDAL/Scholarship from Home Minister in my MBA for being the “Top Rank student “ of management institute. 3. I received numerous complements and extra pay from various students for trouble shooting their online problems. Other interests/Hobbies (optional): ? Web Surfing ? Sports ? Watching Comics, News channels ? Miniature Collection ? Exploring hidden facts ? Solving riddles and puzzles
4.80+
391+ Reviews
552+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Which of the following statements is correct? a The level of real GDP is a good gauge of economic prosperity, and the growth of real GDP is a good gauge of economic progress. b The level of real GDP...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
A saving bond earns a variable rate of interest that can change six months, with compounding done monthly. The initial rate was 6.8% in early 2015. If that rate continues unchanged for the 3 years of...
-
At each indicated point find (a) The slope of the tangent line, and (b) The instantaneous rate of change of the function. 1. y = (x2 + 1) (x3 - 4x) at (- 2, 0) 2. y = (x3 - 3) (x2 - 4x + 1) at (2, -...
-
A corporation had a net income before taxes of $1.2 million for 2015. Find the tax liability for this company.
-
a. Consider the regression using three explanatory variables, FERTILITY, PUBLICEDUCATION, and LNHEALTH that you did in Exercise 3.3.6. Test whether PUBLICEDUCATION and LNHEALTH are jointly...
-
Show that the shortest distance between two points in (three-dimensional) space is a straight line.
-
Consider a six-point sequence x[n] which is only nonzero for 0 n 5 where it takes values = == [0] 1, [1] 0, r[2] = 2, r[3] = 2, x[4] = b, x[5] = 1. The number b (i.e., the value of x[4]) is unknown,...
-
After you have studied Economics in the News on pp. 176177, answer the following questions. a. Why do bond prices and interest rates move in opposite directions? b. Looking at Fig. 1 on p. 177, what...
-
If Indias economic growth slows and incomes grow more slowly, and if other things remain the same, how will the demand for or supply of loanable funds in India change? The government of India set a...
-
HSD confidence intervals (with an overall significance level of 0.05) were calculated for the mean housing prices in three southern California neighborhoods: Agoura, Ventura, and Oxnard. The sample...
-
Given the following two classes, what change to the StealSecret class would allow it to read and email the password to a hacker? A. There are no changes, as the Secret class is secure. B. Override...
-
Suppose we have a peacocks table with two columns: name and rating. What does the following code output if the table is empty? A. false B. true C. The code does not compile due to line s1. D. The...
-
Why is a journal referred to as the book of original entry?
-
Which of these statements is false? A. Assets = Liabilities + Equity B. Assets Liabilities = Equity C. Liabilities Equity = Assets D. Liabilities = Assets Equity
-
A business has the following transactions: The business is started by receiving cash from an investor in exchange for common stock $20,000 The business purchases supplies on account $500 The...
-
Trace the flow of accounting information through the accounting system.
-
How does health insurance risk differ from other types of insurance risk (e.g., automobile or homeowners insurance)? What is the difference between cost sharing and cost shifting? Is retiree health...
-
a. Sketch a budget line for a household that spends its income on only two goods: gasoline and restaurant meals. Identify the combinations of gasoline and restaurant meals that are affordable and...
-
How does a rise in the price of gasoline change the relative price of restaurant meals? How does a rise in the price of gasoline change real income in terms of restaurant meals? With gas prices...
-
How does a rise in the price of gasoline change the relative price of restaurant meals? How does a rise in the price of gasoline change real income in terms of restaurant meals? With gas prices...
-
Your research director has assigned you to operate the laboratory's mass spectrometer that is designed to separate strontium ions having a net charge of +2e from a beam of mixed ions. The...
-
Kelly has the following income: Salary 85,850 Net interest on securities 1800 Lottery winnings 2,500 Dividends 23,150 What is her income tax liability?
-
IF VAB 30 V, find Q4 as shown 3F A 13 3F HH HH B C C3 C3F C4 3F
Study smarter with the SolutionInn App