Macroeconomics - Term Paper Essay Example | Topics and Well Written Essays - 1250 words

Macroeconomics - Term Paper - Essay Example In the regulation of the money in circulation, central bank makes adjustments to the interest rate that entails the price of borrowing money. This paper keenly discusses fiscal and monetary policies theories and application. Fiscal policy In their efforts to regulate spending and maintain taxation at an affordable level, governments emulates three types of fiscal policies. The first one is neutral fiscal policy. This type of policy is adopted when the economy is in equilibrium. One of the key aspects of neutral fiscal policy is that all the fund that the government uses to establish projects such as roads, factories, ports among others, is full obtained from tax revenue (Hansen 34). Another type of fiscal policy that government can use to achieve economic development is the expansionary fiscal policy. This entails a situation whereby government spending exceeds tax collected from the residents. This will mean that governments must look for donors to fund them so that they are able to maintain their economy at a competitive level. The policy must be looked keenly to make sure that funds borrowed from the donors are not diverted to other unplanned project .The third policy is contractionary fiscal policy. ... The federal government controls how the money is shared according to the financial year and how they have planned for the budget. The budget must be gone through by the stake holders that include president and the congress. The two bodies must work together so as to come with a comprehensive report that is going to make life bearable to its citizens (Larch and Nogueira 46). The president makes sure that the proposed budget is passed to the congress so that they can decide how much money the government is going to spend on public needs for example, the issue of security is a problem world wide and health care .On the other hand expansionary fiscal policy is commonly used by the federal government to make sure that their business problems are stabilized. Another application area in expansionary policy is the issue of unemployment to its citizens. The unemployed high number of people has to borrow money and return the same money with low interest. In contrast, contractionary fiscal poli cy is mainly used by the central bank or the finance ministry to make sure that the rapid economy growth of a country is put under control. This means that the government must come up with the measures to control it. The government has to increase the interest rates, the central bank then regulates the money their customers are going to deposit and the notes the other bank are going to hold. Monetary policy Monetary policy refers to the process by which the government through central bank regulates the money supply to its citizens with aim of controlling price fluctuations (Heyne et al, 19). This means that the government must make sure that the prices of commodities are stable. The government must still ensure that the interest rates and exchanges rates are guarded fully against

The Teach for America helps the education reform Essay

The Teach for America helps the education reform - Essay Example ugh the TFA wants to make the best reforms for the American educational system, critics argue that the short duration training is not enough for the corps members. This has brought forth the debate as to whether or not the TFA is indeed making a positive change in the society or if it is making matters worse by giving students inexperienced teachers to guide them. Teach For America (TFA) is a non-profit organization that was founded in 1989 by Wendy Kopp. The organization operates on the motto: â€Å"One day, all children in this nation will have the opportunity to attain an excellent education† and is driven by its mission: â€Å"To eliminate educational inequality by enlisting high-achieving recent college graduates and professionals to teach for two years in low-income communities throughout the United States.† In its first year of operation, TFA recruited and placed 500 teachers in various schools across the nation. The number has risen by over 50% over the decades. As suggested in its mission; the TFA recruits college graduates and professionals to teach in urban and rural communities throughout the US for two consecutive years. The recruits are known as corps members, and they do not have to be certified teachers (Tulenko 20). The corps members in TFA are cheaper so that they will give pressure to the tenure teachers to improve teaching performances.  Most of the TFA corps members are fresh college graduates who are eager to make a change in the society. Majority of them are hoping that they will be in a position to help the underprivileged students form low income families to get better grades. Many of them are liable to hearsay about the training program offered by the TFA and how it is aimed at making positive educational reforms. They are also aware of the fact that they will be placed in jobs at various schools across their country. Unaware of the problems that they will encounter due to poor training, they enroll for the program. Once they have