IB Economics B

This article talks about the long term affects of raising or lowering interest rates. This article talks about how the government can't react too much to inflation because the effects of raising or lowering interest rates may not be seen for two years.

This article discusses the different views of the Republicans and Democrats on setting the 2012 fiscal budget. The US government almost shutdown because the parties could not come to an agreement on how to spend money. This is a big topic in the US right now, especially with the increasing debt.

This article explains the monetary policies that are being taken by the US Government in order to reduce unemployment rates.

This article discusses different approaches to recovering from the recession and the different view points of the Republicans and Democrats. It also talks about who should be taxed different amounts and how much they should be taxed.

This article talks about Obama's fiscal policy with regards to taxes on the rich, and the benefits/limitations of increasing or decreasing taxes on specific income brackets.

This article discusses Obama's plan to use fiscal policy in order to stimulate the economy. He plans on cutting taxes based on the income group people are in.

The article highlights the uncertainty central bank officials must face when directing the implementation of monetary policy. In this particular case, US Fed bank officials are unsure as to the future state of the economy: rising growth and thus inflation or staggered growth. The Fed eventually decided to keep interest rates at near 0 rates as they believe exogenous shocks such as the events in the middle east and natural disasters would maintain economic uncertainty and thus would curb any underlying inflationary pressures.

Paul Krugman offers his opinion on the use of monetary policy in todays economy. He states that "monetary policy can still work if you can credibly make commitments about future monetary policy"

Monetary policy has become even more accommodative since the peak of the financial crisis in Frankfurt. Read more to discover how the central bank has exerted its power in order to ensure price stability, its primary task.

The governor of the New Zealand central bank said monetary policy would continue to focus on medium term inflation pressures and would be used if they rise because of high commodity prices and the exchange rate.

U.S. economic activity has slowed in the past few months as oil prices weigh on sentiment. Oil prices could push up headline inflation, it's advised that central banks shouldn't over-react as this is likely to be temporary and could lead to a monetary policy mistake.

India, Mumbai, April 12: The weak industrial output numbers may have sparked calls for a pause in monetary tightening, but the Reserve Bank of India is unlikely to oblige. Also, a sticky inflation situation may force the RBI to raise key rates for the ninth time in 15 months.... It seems as though India is stuck between raising interest rates and reducing inflation or reducing interest rates for the sake of maintaining and stimulating its economic growth...

The article discusses about unefficiency of fiscal policy and claims that many countires nowadays do not really run fiscal policy

Ever since the stagflation that followed the Keynesian economic policies in the 70s, the notion that government planning is our best bet at bringing back the economy has faded away. However, in recent years, Keynes's ideas are being implemented once again in the form of Keynesian style of fiscal policy

As we all know alcohol is, nowadays, one of the main producers of externalities, an increase in taxes for it means a decrease on the demand for it.

This article discusses the current economy and its relation to previous cycles that occurred. In specific it mentions the years of 1996 and 1999 when the economy was booming or in a slump.

This article talks about how fiscal policies, concretely deflationary ones, are being required because of the middle-east and north-african conflicts that have been taking place throughout the last months.

This article explores how the business cycle affects unemployment. There is an unusually high unemployment rate in the U.S., and the way businesses operate tells a great deal about why this might be.

This article is about a fiscal policy that President Reagan believed in which is now being debated as unconstitutional. Although it is the past, many believe that it can no go unnoticed throughout eternity.