Question: Discuss the implication of business cycles on fiscal and monetary policy. Answer: Business Cycle: Market economies have regular fluctuations in the level of economic activity which we call the business cycle. In other words‚ the business cycle is the periodic but irregular up-and-down movements in economic activity‚ measured by fluctuations in real GDP and other macroeconomic variables. A business cycle is identified as a sequence of four phases: 1. Contraction (A slowdown in the pace
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The effect on nominal interest rates of an increase in the rate of monetary growth that is least consistent with the other effects is the: (a) expected inflation [Fisher] effect. (b) nominal income effect. (c) liquidity [Keynes] effect. (d) price level effect. 1. The idea that growth of the money supply at a low fixed percentage rate annually is likely to yield greater macroeconomic stability than when monetary policy is at the discretion of government officials is the foundation for: (a)
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| |1.4 Role in monitoring the internal control process | |1.5 Role in oversight of risk management | |2 Impact of the Sarbanes-Oxley Act of 2002
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POSITIVE EFFECTS: 1.Increases Production 2.Diversification of Cropping Pattern 3.Better Price 4.Increased Exports NEGATIVE EFFECTS: 1.Lack of Self-Sufficiency 2.Price Stability 3.Affects Poor Farmers 4.Entry of MNCs IMPACT ON INDUSTRIES Industrialization through import substitution and public sector production with emphasis on heavy industry has been a very important objective of our planning for development. In particular an important distinction was
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FOREIGN POLICY PAKISTAN AND INDIA AUGUST‚ 2012 Shaheera Jalil Albasit Minister of Foreign Affairs and Defence‚ PILDAT’s Youth Parliament‚ Pakistan Ministry of Foreign Affairs and Defence FOREWORD The document is an attempt to see Pakistan’s external relations with its immediate eastern neighbor‚ India‚ in a contemporary light. The strategies recommended in this policy come from the belief that Pakistan’s stable internal security and Pakistan’s elevated presence in the global economy
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Reserve Bank of India (RBI) has the power to increase or decrease the liquidity in the financial markets using various policy tools. So in a sense we can imagine that the liquid tap is housed within the RBI. If the level of liquidity in the system drops‚ RBI has the power to loosen the tap a little and allow more money to gush into the system. Perhaps it is this similarity that had led to the term liquidity getting associated with money supply. There are four main policy tools that RBI uses:
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SYNOPSIS FDI IN HEALTHCARE RETAIL AND ITS IMPACT ON EMPLOYMENT IN INDIA Research Scholar: N.Chandrasekhar CONTENTS Topic Page Introduction 2 Objectives 10 Methodology 11 Review of Literature
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1. Monetary and fiscal policy and its impact on business decision making 2. Open economy macroeconomics-Mundell –Fleming Model and its application FISCAL AND MONETARY POLICY IN INDIA AND ITS IMPACT ON Business Decision Making. What is monetary policy? Monetary policy is the management of money supply and interest by central banks to influence prices and employment. Monetary policy works through expansion or contraction of investment consumption expenditure. Monetary
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variables are also subject to change due to the policies adopted and expected to be adopted by other countries or some global events. The common external factors influencing the stock return would be stock prices in global economy‚ the interest rate and the exchange rate. For instance‚ capital inflows and outflows are not determined by domestic interest rate only but also by changes in the interest rate by major economies in the world. Burning example in India is the appreciation of currency due to higher
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Public Policy towards Natural Disasters in India Disconnect Between Resolutions and Reality 2005 Centre for Budget and Governance Accountability (A Programme of NCAS) B-64‚ Second Floor‚ Sarvodaya Enclave‚ New Delhi- 110 017‚ India Tel: 91-11-26537603 E-mail: cbadelhi@vsnl.net National Centre for Advocacy Studies (http://www.ncasindia.org) Serenity Complex‚ Ramnagar Colony‚ Pune- 411 021‚ India Tel: 91-20-22952003 / 4 E-mail: ncas@vsnl.com Public Policy towards Natural Disasters in India
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