Ecs3701 nov - Study guides, Class notes & Summaries

ECS3701 Nov 2016 Exam Question 1 (25 marks) 1 1 Explain the following terms (8) (a) Fiscal policy Fiscal policy is the means by which a government adjusts its spending levels and tax rates to monitor and influence a nation's economy. (b) Budget deficit Budget deficit is a situation in which government spending is greater than tax. (c) Monetary policy Monetary Policy is the management of money and interest rates by the central monetary authorities. Because money can affect many economi...

ECS3701 Oct/Nov 2017 1. Explain the following terms i. Inflation targeting Monetary policy strategy that involves public announcement of a medium-term numerical target for inflation. ii. Interest rate risk The riskiness of earnings and returns that is associated with changes in interest rates iii. Monetary Policy Monetary policy can be defined as the measures taken by the monetary authorities to influence the quantity of money or the rate of interest with a view to achieving stable pr...

ECS3701 Oct/Nov 2017 1. Explain the following terms i. Inflation targeting Monetary policy strategy that involves public announcement of a medium-term numerical target for inflation. ii. Interest rate risk The riskiness of earnings and returns that is associated with changes in interest rates iii. Monetary Policy Monetary policy can be defined as the measures taken by the monetary authorities to influence the quantity of money or the rate of interest with a view to achieving stable pr...

ECS3701 EXAM PACK 1 | P a g e ECS3701 Oct/Nov 2017 1. Explain the following terms i. Inflation targeting Monetary policy strategy that involves public announcement of a medium-term numerical target for inflation. ii. Interest rate risk The riskiness of earnings and returns that is associated with changes in interest rates iii. Monetary Policy Monetary policy can be defined as the measures taken by the monetary authorities to influence the quantity of money or the rate of interest ...