A high street store was interested to discover if the spending of customers using credit cards is different from the spending of customers using cash. A random sample of 52 customers using credit cards for a single transaction had a mean spend of £36.43 with standard deviation £12.08. A random sample of 38 customers using cash for a single transaction had a mean spend of £31.84 with standard deviation £11.27.

A hypothesis test is to be performed to investigate whether the mean spend by customers using credit cards was equal to the mean spend by customers using cash.

(a) Using appropriate notation, which you should define, specify the null and alternative hypotheses associated with the test.

(b) Calculate the value of the estimated standard error of the difference between the sample means, as well as the value of the test statistic.

(c) Complete the hypothesis test, carefully detailing the conclusions of the test.

In 2016 Obama’s administration presented a budget plan. It proposed an increase in defense spending by $54 billion (more than a 10% raise):

Let’s suppose that a new corporate tax plan includes investment breaks that stimulate firms to invest in physical capital. Can you asses the consequences of the establishment of investment tax breaks on productivity of capital (MPK), productivity of labor (MPL) and investment? use all equations and graphs.

A..--- What causes changes in total spending in an economy? Summarize in your own words. ( GO THROUGH ALL THE COMPONENTS IN GPA)

​How will each of the following likely change the aggregate supply curve? Why?

1*An increase in the labor force?

2*An increase in capital?

3*An increase in cost of raw materials?

4*A reduction in the costs created by regulations?

5*Compare the effects of increase in unemployment with the decrease in the labor force. (Be careful here.)

A research company wants to know what will happen to the company's R&D spending in the next year. Questionnaires go to 940 companies and they submit the following responses: Higher (260); Lower (220); Same (210); and No Idea (250). Excluding the No Idea responses, are the other three options equally likely? Use alpha = 0.05.

When in a recession a government has the option to increase government spending or decrease taxes to stimulate the economy. Discuss which piece of GDP is being targeted when each is used. Explain what happened in 2008, what went wrong? and what are some steps that could have been taken to avoid the recession of 2008?

Research the 2009 to 2017 Obama administration’s use of fiscal policy and deficit spending in the face of The Great Recession which began in 2007. Focus only on fiscal policy. Do not include information about other policies such as monetary policy, healthcare, military spending, trade agreements, foreign affairs, etc.

Answer the following questions:

1. Describe the main tools of fiscal policy and when it is appropriate to use them.

4. What specific fiscal policy measures did the Obama administration use, and what was the purpose of these actions?

5. Comment on the budget deficit under the Obama administration. Do you believe that the deficit was justified? Why/Why not? Support your answer using arguments from economic theory.

6. Describe the “lag effect”, sometimes called the “response lag”. Does this apply more to fiscal policy or to monetary policy?

1) How is the idea of the government spending multiplier, or multiplier effects in general, illustrated in this video?

2) What could happen to Jacksonville MSA's local economy and the Southeast region if such a major project, which was initiated in June 2014, is completed and all needed state funding is secured?

• What are the possible effects from making these types of changes to either government spending or taxes?
• Give an example of a discretionary fiscal policy action you have seen taken in the past and why you felt that action was taken.
• please use mla format to cite

According to Neoclassical economists the following is a means to stimulate economic growth?

government spending to increase demand

high taxes

low taxes

The Phillips curve illustrates a trade-off between ________ and ________.

the natural rate of unemployment rate; the actual unemployment rate

the natural rate of unemployment; inflation

unemployment; inflation

The theory of ________ assumes that individuals will use all information available to them to form the most accurate possible expectations about the future.

答案选项组

rational expectations

Keynesian economics

adaptive expectations

Which of the following more than likely caused housing prices to fall after the media reported about the subprime mortgage crisis?

答案选项组

neoclassical theory

rational expectations

cyclical expectations

From a Keynesian view, during a recession, government investment in physical capital

答案选项组

always generates positive returns to investment.

has no risk of crowding out private investment in physical capital.

helps increase the output and productivity of an economy.

Tax cuts that are explicitly temporary have less impact than permanent ones because

答案选项组

temporary tax cuts are usually smaller than permanent ones.

temporary tax cuts always have less effect on the budget deficit than permanent ones do.

individuals and businesses do not change their behavior very much, since they do not expect the tax cuts to last.