During the recent recession, several european countries proposed austerity measures that would shrink the size of the national deficits within the countries. these proposed measures included tax hikes and cuts in government spending. when this happened in the united states in the 1990s, there was an accompanying decrease in the policy rate to avoid slowing the economy down too much. why was this same policy decision more difficult in europe? a. in response to the recession, the policy rate in europe had already been lowered close to the zero lower bound, so additional decreases were not viable. b. europeans protested against the austerity measures, which angered the government; it responded by intentionally not taking steps to limit the impact of these measures. c. there is no mechanism in europe to change the policy rate like there is in the united states. d. european governments had never implemented these types of austerity policies before so they were not aware of the need for monetary policy to limit the impacts.
Answers: 2
Another question on Business
Business, 21.06.2019 15:00
Becky fenton has 40/80/40 automobile insurance coverage. if two other people are awarded $75,000 each for injuries in an auto accident in which becky was judged at fault, how much of this judgment would the insurance cover?
Answers: 1
Business, 22.06.2019 09:00
Brian has been working for a few years now and has saved a substantial amount of money. he now wants to invest 50 percent of his savings in a bank account where it will be locked for three years and gain interest. which type of bank account should brian open? a. savings account b. money market account c. checking account d. certificate of deposit
Answers: 1
Business, 22.06.2019 13:10
Trey morgan is an employee who is paid monthly. for the month of january of the current year, he earned a total of $4,538. the fica tax for social security is 6.2% of the first $118,500 earned each calendar year, and the fica tax rate for medicare is 1.45% of all earnings for both the employee and the employer. the amount of federal income tax withheld from his earnings was $680.70. his net pay for the month is .
Answers: 1
Business, 22.06.2019 21:00
Haley photocopying purchases a paper from an out-of-state vendor. average weekly demand for paper is 150 cartons per week for which haley pays $15 per carton. in bound shipments from the vendor average 1000 cartoons with an average lead time of 3 weeks. haley operates 52 weeks per year; it carries a 4-week supply of inventory as safety stock and no anticipation inventory. the vendor has recently announced that they will be building a faculty near haley photocopying that will reduce lead time to one week. further, they will be able to reduce shipments to 200 cartons. haley believes that they will be able to reduce safety stock to a 1-week supply. what impact will these changes make to haley’s average inventory level and its average aggregated inventory value?
Answers: 1
You know the right answer?
During the recent recession, several european countries proposed austerity measures that would shri...
Questions
