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Where Do Our Federal Taxes Go?
Most Americans do not know where our federal tax dollars go. The textbook chapter has a great link to an article on Federal Taxes
Context Link: https://www.cbpp.org/research/federal-budget/where-do-our-federal-tax-dollars-go
Please read the article and identify one federal tax item you feel is the most important item that should be paid by your tax dollars. Please provide the reason why you selected this item as the most important.
Instructions:
- For this discussion board read the article - on Federal Taxes
- Research where your federal tax dollars go to.
- Identify one item you feel is the most important item for your dollars to be spent on.
- Please provide the reason why you selected this item as the most important.
When alice went to theatre she had to choose between romantic and action movie.she decided to watch romantic movie.Did alice face any scarcity in this situation?economically,what conclusions can be withdrawn from alice choice of romantic movie over action movie?
Consider an open economy with a fixed exchange rate at time t. Suppose that initially financial market participants believe that the government is committed to maintaining the fixed exchange rate. Suppose at time t+1 the central bank announces a devaluation. The exchange rate will remain fixed, but at a new level, where the new fixed exchange rate is below the initial fixed exchange rate. At the new level of fixed exchange rate, assume that financial market participants believe that there will be no further devaluation and that the government will remain committed to maintaining the exchange rate.
a) Draw an IS-LM-UIP diagram for this economy. Consider the change in the expected exchange rate.
b) Based on your answer in (a), what would happen to the domestic interest rate if there is no change in the domestic money supply? Explain in suitable diagram and equation.
1) Give an example of adverse selection and moral hazard challenges in your home town and suggest policy intervention to address the problem?
Consider an open economy with a fixed exchange rate at time t. Suppose that initially financial market participants believe that the government is committed to maintaining the fixed exchange rate. Suppose at time t+1 the central bank announces a devaluation. The exchange rate will remain fixed, but at a new level, where the new fixed exchange rate is below the initial fixed exchange rate. At the new level of fixed exchange rate, assume that financial market participants believe that there will be no further devaluation and that the government will remain committed to maintaining the exchange rate.
a) Assume that the financial market participants to expect another devaluation at time t+2. How does the expectation affect the nominal exchange rate, real exchange rate, domestic interest rate and domestic output? Explain in suitable diagram and equation.
Consider an open economy with a fixed exchange rate at time t. Suppose that initially financial market participants believe that the government is committed to maintaining the fixed exchange rate. Suppose at time t+1 the central bank announces a devaluation. The exchange rate will remain fixed, but at a new level, where the new fixed exchange rate is below the initial fixed exchange rate. At the new level of fixed exchange rate, assume that financial market participants believe that there will be no further devaluation and that the government will remain committed to maintaining the exchange rate.
a) Draw an IS-LM-UIP diagram for this economy. Consider the change in the expected exchange rate.
Why is land and labour referred to as primary factor of production
The equilibrium levels of income (Y),real investment and gross national expenditure are determined by the intersection of the AS and AD curves
The ABC stock has a beta of 1.4. The company just paid a dividend of $2.0, and the dividend is expected to grow at 6% per year, indefinitely. The expected market return is 14%, and the risk-free is 4%. The most recent stock price for ABC is $60. Calculate the cost of equity using the SML method.
JPM has the following capital structure. What is the WACC for the company?
Debt:
Bond 1. 400,000 bonds with a coupon rate of 6% (paid semi-annually), a price quote of 110.0 and have 20 years to maturity.
Bond 2. 300,000 zero coupon bonds (semi-annual compounding) with a price quote of 40.0 and 25 years until maturity.
Preferred stock:
600,000 shares of 4 percent preferred stock with a current price of $60, and a par value of $100.
Common stock:
12,000,000 shares of common stock, with a price of $80, and a beta of 1.3.
Market:
The corporate tax rate is 40 percent, the market risk premium is 9%, and the risk-free rate is 4%.
