Economics HL
4
Chapters
117
Notes
Unit 1 - Intro To Econ & Core Concepts
Unit 2 - Microeconomics
Unit 3 - Macroeconomics
Unlocking National Income Stats: What They Reveal About Economies
GNI vs. GDP: Which Better Measures Economic Well-Being?
Understanding Aggregate Demand Beyond GDP
Understanding Aggregate Supply Monetarist Vs. Keynesian Views
Understanding Equilibrium Monetarist Vs Keynesian Models Explained
Understanding Macroeconomic Equilibrium: A Deep Dive
Economic Growth Blessing or Curse for Living Standards
Understanding Unemployment Myths, Measurements, and Meaning
Deflation Demystified: Why Lower Prices Aren't Always Better!
Understanding Inflation Insights & Implications For Economies
Understanding Equality Vs. Equity In Income Distribution
Understanding Economic Inequality Income vs. Wealth
Unveiling Income Inequality The Power of Lorenz Curve & Gini Coefficient
Understanding 2018's Lorenz Curve Income Quintile Insights
Understanding Poverty Absolute Vs. Relative Explained
Understanding Poverty Beyond Just Income Measures
Understanding Globalization, Technology, and Income Inequality Impact
Understanding Taxes From Direct To VAT Explained!
Understanding Tax Rates ATR vs MTR Explained
Unlocking Equity: How Taxation Curbs Income Inequalities
Strategies To Combat Poverty Beyond Traditional Taxation
Unraveling Money From Basics To Banking & Policy Mechanics
Understanding The Demand For Money: A Deep Dive
Central Bank's Tools Steering Money Supply & Interest Rates
Impact of Contractionary Monetary Policy on Aggregate Demand
Monetary Policy Key Strengths and Limitations Explained
Mastering Fiscal Policy How Government Spending Influences Economy
Unlocking The Power Of The Keynesian Multiplier
Unveiling Fiscal Policy: Key Advantages & Notable Disadvantages
Unlocking Economic Growth: The Power of Supply-Side Policies
Boosting Growth: The Power of Supply-Side Policies
Unveiling Supply-Side Policies: Market-Based Vs. Interventionist Insights
Unlocking Macroeconomic Objectives: Tools & Tactics for Policymakers
Mastering Price Stability: Fiscal vs. Monetary Policies
Effective Policies To Counter Different Types Of Unemployment
Macroeconomic Dilemma: Unemployment Vs. Inflation
Unit 4 - The Global Economy
Economics HL
Unit 3 - Macroeconomics
Mastering Fiscal Policy How Government Spending Influences Economy
485 words
3 mins read
Last edited on 5th Nov 2024
Table of content
What's fiscal policy
- Definition: Fiscal policy refers to changes in government spending (G) and taxes (T) to influence the economy.
- Goal: To affect aggregate demand and control inflation, growth, and employment.
- Real-World Example: Think of fiscal policy as the government's "spending-and-taxing remote control." If the economy is sluggish, the government can boost spending on roads or cut taxes like hitting a 'fast-forward' button!
Government expenditures- where does the money go? 💸
- Capital Expenditures: Spending on infrastructure like roads, hospitals, and schools.
- Current Expenditures: Includes salaries and everyday spending like hospital supplies.
- Transfer Payments: Payments like pensions, not included in GDP.
- Real-World Example: Imagine the government as a big spender on a shopping spree, buying roads, paying teachers, and even helping Grandma with her pension!
Government revenues- show me the money! 💰
- Sources: Mostly from direct and indirect taxes, sale of assets, and profits from state-owned enterprises.
- Real-World Example: Think of the government as running a giant lemonade stand. Taxes are like the money from customers, and selling an old lemon-squeezer (privatization) adds to the cash!
Budget talk- surplus, deficit, or balanced? 🧮
- Deficit: When spending > revenue.
- Surplus: When revenue > spending.
- Balanced: When spending = revenue.
- Real-World Example: It's like your piggy bank. If you spend more than your allowance (deficit), you might have to borrow from your brother (public debt)!
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Economics HL
Unit 3 - Macroeconomics
Mastering Fiscal Policy How Government Spending Influences Economy
485 words
3 mins read
Last edited on 5th Nov 2024
Table of content
What's fiscal policy
- Definition: Fiscal policy refers to changes in government spending (G) and taxes (T) to influence the economy.
- Goal: To affect aggregate demand and control inflation, growth, and employment.
- Real-World Example: Think of fiscal policy as the government's "spending-and-taxing remote control." If the economy is sluggish, the government can boost spending on roads or cut taxes like hitting a 'fast-forward' button!
Government expenditures- where does the money go? 💸
- Capital Expenditures: Spending on infrastructure like roads, hospitals, and schools.
- Current Expenditures: Includes salaries and everyday spending like hospital supplies.
- Transfer Payments: Payments like pensions, not included in GDP.
- Real-World Example: Imagine the government as a big spender on a shopping spree, buying roads, paying teachers, and even helping Grandma with her pension!
Government revenues- show me the money! 💰
- Sources: Mostly from direct and indirect taxes, sale of assets, and profits from state-owned enterprises.
- Real-World Example: Think of the government as running a giant lemonade stand. Taxes are like the money from customers, and selling an old lemon-squeezer (privatization) adds to the cash!
Budget talk- surplus, deficit, or balanced? 🧮
- Deficit: When spending > revenue.
- Surplus: When revenue > spending.
- Balanced: When spending = revenue.
- Real-World Example: It's like your piggy bank. If you spend more than your allowance (deficit), you might have to borrow from your brother (public debt)!
Unlock the Full Content!
Dive deeper and gain exclusive access to premium files of Economics HL. Subscribe now and get closer to that 45 🌟
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