Category: Economics 2707
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Advantages of Taxable Investments
The answer to the question might seem incomprehensible for a non-economist. Nevertheless, with the help of some research, even a person that has no academic competence can handle this issue. The methods needed for the solution are uncomplicated search and, for those that demand more evidence, calculations. Thus, every person wanting to start an investment…
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Monetary Policy: The Federal Reserve
This assessment deals with how the Federal Reserve uses monetary policy and its monetary policy tools to try to stabilize the economy while meeting its dual mandate of controlling inflation and maintaining unemployment. Scenario 1 The economy of a hypothetical country has been stable for two or three years with very low unemployment. Wages have…
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A Report on the Budgeting Problem
The current budget system of the company is accounted for poor decisions of the managers. Namely, a significant amount of money is being spent on activities, services, and products that are unnecessary for the company or even contradict its policy. This report aims to provide a general analysis of the budget consumption for the past…
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Constructive Receipt Doctrine in Hornung v. Commissioner
Tax-payers face multiple regulations and rules that subject them to inevitable consequences or benefits, constructive receipt doctrine being one of them. Constructive receipt is responsible for reporting taxable income, more specifically under the cash-basis system of accounting. The most crucial distinction of constructive receipt is that it is solely applicable in cash accounting situations, without…
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Definition of Flotation Costs
The analysis of various expenses of publicly traded companies provides the chance to understand that the factor of issue type may influence the organizations choices. The flotation costs can be defined as the expenses of the company aiming to become publicly traded related to issuing new securities. When an organization decides to attract funding, it…
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Fiscal Policy and Public Debt
Good fiscal policy has proved to be an effective method to counter severe economic recessions and surging unemployment rates (Battaglini and Coate 303). The two most popular strategies that the governments apply when faced with crises include increasing government spending and lowering tax rates. Generally, it is believed that the former is more suitable for…
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Internal Controls: Income Statement and Balance Sheet
A new wholesale electronics business would demand an accurate accounting and inventory control system. Having fewer HD televisions in the warehouse may result from an oversight in physical tally or neglect to undertake periodic inventory counts. As a strategy to prevent the loss, the loading dock doors should be safe and under strict lock and…
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Labour Shortages Threaten Housing Supply
The article summarized here is titled Labour shortages threaten housing supply, written and published by The Economist author unknown in September of 2021. The thesis of the article is that while demand for new homes is high, there is not enough labor in the form of supply to build them, resulting in the market being…
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1929-1933 Depression and the Development of Germany
Introduction The great depression of 1929 was preceded by a number of economic, social and political events. In Germany the depression was considered as the turning point of the economic and development jurisprudence. A historical interrogation of Germany between 1880 and 1933 presents a better understanding of this claim. Argument The period before 1880 was…
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How the Federal Reserve Fights Recessions: The Article Summary
In 2020, due to the COVID-19 pandemic, the entire world had to encounter severe economic crises, which affected every sphere of life. It was especially tough for organizations of different kinds and fields, as it was absolutely unexpected. Even the wealthiest and the most developed countries, such as the United States, incurred the negative impact…