Written especially for portfolio managers, financial analysts,
and corporate economists, this volume considers the practical
implications of government economic policies. The contributors
illustrate how incentives and disincentives affect economic
behavior and the performance of the economy through an in-depth
discussion of monetary, fiscal, and international economic issues.
In addition, the authors present a unique top-down approach that
enables the reader to trace the impact of government policies
through the economy and thereby discover the investment strategies
most likely to be successful within a given policy context.
The first section of the book focuses on monetary issues and
explores issues related to inflation, likely government
intervention mechanisms to control inflation, variants of the
monetarist model, interpreting the demand curve, and the
development of a portfolio strategy designed to take advantage of
anticipated changes in financial variables. The next group of
chapters looks at supply-side economics and analyzes the effects of
the economic incentives and constraints imposed by government.
Particular attention is paid to the effects of taxation policies on
equity values, economic growth, and savings. In the third section,
the contributors present a supply-side view of selected
international economic issues including the relationship between
tax rate reductions and foreign exchange rates and the trade
balance. The concluding section examines the portfolio strategies
that can be derived from the analyses presented in previous
chapters. An indispensable resource for finance executives, this
book will also be of significant value to graduate students in
economics, financial management, and business programs.
General
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