In our class we talked about impacts of COVID on the Canadian economy. by referring to...

In our class we talked about impacts of COVID on the Canadian economy. by referring to the class discussion explain possible impacts of COVID on AD and SRAS and appropriate polices for dealing with the problem.

Solutions

Expert Solution

Canadian economy is moving to recession due to the outbreak of corona virus. The GDP rte fell down to 2.6 percent. Almost fifth of the population avail an emergency fund which established by the government to counter the adverse economic impact due to this outbreak. There are several programmes were implemented to raise the recession path to a normal one. The interest rates were cut down by efficient fiscal intervention. This lowering rate was also due to increasing money supply in the economy. This helps the businessman to increase their activities, which will not help the maintenance of normal investment needs and economic activities. The increasing level of lockdown restrictions leads to decreasing level of the economic balances. The policies taken to maintain the economic stability, but there is high level of uncertainty prevail among the authority.
In every economy there is uncertainty among the policy makers about the end of this corona outbreak. This affects the future economic growth and the economic policies. This uncertainty shatters the growth rate and future investment. The production process fall down with respect to the fall in investment. This will reduce the demand and supply in the market. Canadian economy tried to maintain their stability through different programmes, but not anyone will give proper results. So the economy again and again moving towards recession.

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

Describe the difference between discounting and interest, referring to the way we have talked about it...

Describe the difference between discounting and interest, referring to the way we have talked about it in class. Specifically use this example: A company is looking to purchase an item worth 10k today. The same item can be purchased 3 years later for 10k. Why is the second option more desirable, and how much more desirable is it if your cost of capital is 5%?

Below is the pseudocode for Quicksort and Partition that we talked about in class. As usual...

Below is the pseudocode for Quicksort and Partition that we talked about in class. As usual with recursive functions on arrays, we see the array indices s and e as arguments. Quicksort(A, s, e) sorts the part of the array between s and e inclusively. The initial call (that is, to sort the entire array) is Quicksort(A, 0, n − 1) QuickSort(A, s, e) if s < e p = Partition (A, s, e) // Partition the array and return...

In class we talked about the effects of cigarette smoking on birthweight. We defined a model...

In class we talked about the effects of cigarette smoking on birthweight. We defined a model E ( O | C = c ) = (β0)^1 + ((β1)^1 x c) where O is birthweight in ounces and C is cigarettes smoked per day. Suppose instead we used the model E(L|P =p)=(β0)^2 +((β1)^2 x p) where L is birthweight in pounds and P is packs of cigarettes smoked per day (there are 20 cigarettes in a pack). What is the relationship...

We talked about a diversity of respiratory strategies used by animals in class. One of the...

We talked about a diversity of respiratory strategies used by animals in class. One of the main differences between fish & frogs compared to reptiles, and mammals was that fish and frogs use buccal pumps and reptiles and mammals use suction pumps. How do buccal and suction pumps differ (please refer to where volume and pressure is changed and how it moves the respiratory medium through the respiratory system)? Explain how frogs use buccal pumps and mammals use suction pumps...

Explain what the impacts of COVID-19 crisis on inflation are. Do you think Canadian economy might...

Explain what the impacts of COVID-19 crisis on inflation are. Do you think Canadian economy might face hyperinflation due to COVID-19 crisis? Why or why not? Explain. What should the Bank of Canada do if COVID-19 crisis leads to a hyperinflation in Canada? You can discuss about controlling or easing money supply though interest rate.

: Our final topic of the semester was informal fallacies. We talked about several types of...

: Our final topic of the semester was informal fallacies. We talked about several types of common fallacies and ways of diagnosing what went wrong in each. In these cases where someone provides a fallacious argument, people reason in accordance with bad arguments. Throughout the semester you have also learned several tools for identifying and diagnosing what makes arguments good. Describe an instance of bad reasoning that you have encountered or that you think is common using the tools we...

Your textbook and some of our class discussions have talked about intellectual property protection as a...

Your textbook and some of our class discussions have talked about intellectual property protection as a crucial factor for international business. a) What is the intellectual basis for intellectual property protection? b) Why are there differences between countries in terms of lengths of patents, types of patents, length of copyright, the ability to enforce use of a patent and the strength of enforcement of patent laws? c) What are the consequences for a multinational company? d) Finally, from an ethical...

We talked in class about how some textbooks tell us that the way to conduct a...

We talked in class about how some textbooks tell us that the way to conduct a cost benefit analysisassociated with a policy is to look atthe costs and benefits beforea policy was put in place and compare them to the cost and benefits after the policy is in place. Is this correct? If so, explain why. If not, explain why not. NOTE: I realize that you should say "with" or "without" the policy, NOT "before" and "after" but I don't...

We talked about the genes controlling our ability to digest lactose, the sugar found in milk....

We talked about the genes controlling our ability to digest lactose, the sugar found in milk. Collectively the enzymes produced by the set of genes involved are called lactase. "Lactose intolerance" describes the most common condition in human adults, which is an inability to digest lactose because lactase is not produced. These people could all produce lactase as infants, however, so they have the genes needed to produce functional enzymes. Somehow the regulation of expression of the genes changes as...

In class we talked about a number of different welfare measures. a) Graphically identify twoalternative money...

In class we talked about a number of different welfare measures. a) Graphically identify twoalternative money measures of welfare for an imposed change in the level of an environmental service flow (S1 > S0). b) Discuss the pros and cons of the measures you demonstrated above c) Distinguish between the compensating and equivalent measures using both expenditure and indirect utility function approaches. Explain the difference between the two in words.

Subjects