Income and Wealth Disparities, and the Demand Curve

2018 ◽  
Author(s):  
John Attanasio
Keyword(s):  
Family Income ◽  
Demand Curve ◽  
Median Family Income ◽  
Federal Reserve Bank ◽  
Government Deficits ◽  
Reserve Bank ◽  
Economic Downturns ◽  
Wealth Inequalities ◽  
Highly Correlated ◽  
Corporate Profits

The Federal Reserve Bank in May 2016, reported “median family income is in the range between $40,000 and $49,999.” The middle class is shrinking. Income and wealth inequalities are hitting the demand curve causing anemic growth and more frequent, severe economic downturns. In 2011–2012, corporate profits had risen to constitute their largest share of the economy since 1929. The campaign finance cases and the increase in income inequality also appear highly correlated with a steep increase in government deficits and national debt. The logical implication of this work is that democracy may be necessary to establish, or sustain, capitalism. If political power becomes concentrated in relatively few people, then economic power will likely become similarly concentrated: oligarchy will lead to oligopoly. If democracy is necessary to obtain sustained capitalism, and if distributive autonomy is necessary to sustain democracy, it would appear that distributive autonomy is necessary to sustain capitalism.

The Federal Reserve Bank of Richmond

1942 ◽  
Vol 22 (4) ◽  
pp. 431
Author(s):  
S. Donald Southworth ◽  
C. G. Coit
Keyword(s):  
Federal Reserve ◽  
Federal Reserve Bank ◽  
Reserve Bank

Opportunity zones: Do tax benefits go to the most distressed communities?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
James R. Barth ◽  
Yanfei Sun ◽  
Shen Zhang
Keyword(s):  
African American ◽  
Family Income ◽  
Tax Incentives ◽  
Poverty Rate ◽  
Key Factors ◽  
Median Family Income ◽  
Content Type ◽  
Explanatory Factors ◽  
Tax Benefits ◽  
Selection Of

Purpose The exact criteria used by state governors for choosing opportunity zones (OZs) are not publicly available. This paper aims to examine whether state governors selected the most distressed communities, or those with the highest proportions of minorities, as OZs. Design/methodology/approach This paper compares the distressed communities chosen as OZs in states throughout the country to an equal number of those eligible distressed communities but not selected. Moreover, this paper uses regression analysis to determine whether the poverty rate, median family income, population, percentage of population that is minority and the percentage of population that is African American are significant explanatory factors in the choice of OZs. Findings After describing the tax incentives for investing in OZs, this paper documents that governors did not select many of the most distressed communities, or those with high proportions of minorities, in their individual states. Originality/value This paper describes in some detail the way in which investors may generate tax benefits by investing in eligible property or businesses in OZs. It also examines the extent to which the degree of poverty and the percentage of the population that is minority (and African American) were key factors in the selection of OZs. It arises an issue that the chosen communities are not necessarily those most in need of more investment or those heavily populated by minorities, particularly African Americans.

Discussion of the Federal Reserve Bank Plan

1913 ◽  
Vol 4 (1) ◽  
pp. 137
Author(s):  
N. Johannsen ◽  
George B. Morley ◽  
Mr. Vincent ◽  
Alexander D. Noyes
Keyword(s):  
Federal Reserve ◽  
Federal Reserve Bank ◽  
Reserve Bank

scholarly journals Obligasi Bencana Alam Dengan Suku Bunga Stokastik Dan Pendekatan Campuran

2016 ◽  
Vol 7 (1) ◽  
pp. 49-62
Author(s):  
Dian Anggraini ◽  
Yasir Wijaya
Keyword(s):  
Interest Rates ◽  
Natural Disaster ◽  
Financial Risk ◽  
Bond Price ◽  
Federal Reserve Bank ◽  
Aggregate Distribution ◽  
Disaster Loss ◽  
Reserve Bank ◽  
Mixed Approach ◽  
The Impact

This study contains the group claims model as discussed by (Lee, 2007)  for the pricing of natural disaster bonds. This research was conducted with several stages. First make the formula of bond price with stochastic interest rate and disaster event following non homogeneous poisson process. It further estimates the parameters of disaster loss data from the Insurance Information Institute (III) from 1989 to 2012 and interest rates from the Federal Reserve Bank. Because the determination of aggregate distribution is difficult to be exact, numerical calculation is done by mixed approach method (Gamma and Inverse Gaussian) to determine the solution of natural disaster bond price. Finally, shows how the impact of financial risk and disaster risk on the price of natural disaster bonds.

scholarly journals The Federal Reserve Banks New Monetary Policy Tool

2012 ◽  
Vol 10 (9) ◽  
pp. 533
Author(s):  
David Gordon
Keyword(s):  
Monetary Policy ◽  
Federal Reserve ◽  
Vital Role ◽  
Open Market ◽  
Federal Reserve Bank ◽  
Us Economy ◽  
Policy Tool ◽  
Reserve Bank ◽  
The Us ◽  
Demand Deposit

The Federal Reserve Bank (FED) plays a vital role in the US economy. The roles and functions of the Fed are discussed here. This paper also offers an explanation of the traditional tools the Fed uses to conduct monetary policy. Open market operations are explained. The important role of the discount rate is discussed. The legally required reserve ratios are also explored. This author believes that the Fed has recently created a new tool. This tool is the payment of interest on demand deposit accounts at the Fed. This new tool is explained and its ramifications explored. The functions of monetary policy are also expanded upon in this paper.

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