Complete Student Study Guide
... 3. living standards growth, stability and security, sustainability 4. economic development 5. economic, living standards 6. the business cycle 7. sustainability 8. classical economics 9. John Maynard Keynes 10. monetarist economics 11. False. They are studied in Macroeconomics. 12. False. Economic g ...
... 3. living standards growth, stability and security, sustainability 4. economic development 5. economic, living standards 6. the business cycle 7. sustainability 8. classical economics 9. John Maynard Keynes 10. monetarist economics 11. False. They are studied in Macroeconomics. 12. False. Economic g ...
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... to perform policy simulations (Lawler, 1991; Usui, 1996; Kyophilavong and Toyoda, 2009). Another commonly used tool to diagnose Dutch disease and the impact of government policy on the economy is time series analysis (see Al-Awadi and Eltony, 2001; Bjornland, 1998; Hutchison, 1994; Kutan and Wyzan, ...
... to perform policy simulations (Lawler, 1991; Usui, 1996; Kyophilavong and Toyoda, 2009). Another commonly used tool to diagnose Dutch disease and the impact of government policy on the economy is time series analysis (see Al-Awadi and Eltony, 2001; Bjornland, 1998; Hutchison, 1994; Kutan and Wyzan, ...
Document
... In the loanable funds framework, when the economy booms, the demand for bonds increases: the public’s income and wealth rises while the supply of bonds also increases, because firms have more attractive investment opportunities. Both the supply and demand curves (Bd and Bs) shift to the right, but a ...
... In the loanable funds framework, when the economy booms, the demand for bonds increases: the public’s income and wealth rises while the supply of bonds also increases, because firms have more attractive investment opportunities. Both the supply and demand curves (Bd and Bs) shift to the right, but a ...
INFLATIONARY PRESSURES IN SOUTH ASIA
... Spikes in food and fuel prices prior to the global financial and economic crisis resulted in high inflation rates in most countries in Asia and the Pacific. With the onset of the crisis itself, inflationary pressure subsided sharply in all subregions of Asia and the Pacific except South Asia. Major ...
... Spikes in food and fuel prices prior to the global financial and economic crisis resulted in high inflation rates in most countries in Asia and the Pacific. With the onset of the crisis itself, inflationary pressure subsided sharply in all subregions of Asia and the Pacific except South Asia. Major ...
Real Business Cycle Model
... Fooling Model: Summary • Business cycles are explained in this model by permitting the actual price level to differ from the price level expected by the workers. • However, when the workers learn they have been fooled, their price expectations rise and they demand a wage sufficient to regain the or ...
... Fooling Model: Summary • Business cycles are explained in this model by permitting the actual price level to differ from the price level expected by the workers. • However, when the workers learn they have been fooled, their price expectations rise and they demand a wage sufficient to regain the or ...
MANUFACTURING INDUSTRY AND ECONOMIC GROWTH IN LATIN AMERICA: A KALDORIAN APPROACH ABSTRACT
... manufacturing sector are particularly relevant for the discussion on Verdoorn’s Law and in this case Kaldor (1966, 1975) points out to two fundamental sources of autonomous demand, namely, agriculture in early stages of development and exports in later stages. In sum, Kaldor suggests that aggregate ...
... manufacturing sector are particularly relevant for the discussion on Verdoorn’s Law and in this case Kaldor (1966, 1975) points out to two fundamental sources of autonomous demand, namely, agriculture in early stages of development and exports in later stages. In sum, Kaldor suggests that aggregate ...
The estimation of money demand in the Slovak Republic
... The long-run elasticity relative to GDP is lower than one, which indicates an increasing velocity of money in circulation. This result does not completely coincide with the analysis of transaction deposits under M2, which we looked at in the introductory part in the section on economic activity. By ...
... The long-run elasticity relative to GDP is lower than one, which indicates an increasing velocity of money in circulation. This result does not completely coincide with the analysis of transaction deposits under M2, which we looked at in the introductory part in the section on economic activity. By ...
Wage-led versus profit-led demand regimes: The long and the short
... supposedly profit-led demand regime has so far failed to bring about a more adequate long-run economic performance. (Storm and Naastepad 2012, p. 113) There are several possible answers to this question, which are not mutually exclusive. The authors’ preferred answer is that most OECD countries in f ...
... supposedly profit-led demand regime has so far failed to bring about a more adequate long-run economic performance. (Storm and Naastepad 2012, p. 113) There are several possible answers to this question, which are not mutually exclusive. The authors’ preferred answer is that most OECD countries in f ...
The economics of distribution and growth: Recent issues Growth
... This model can be solved to show that the rate of growth of consumption is the same for all agents, equal to the rate of growth of output, and given by ...
... This model can be solved to show that the rate of growth of consumption is the same for all agents, equal to the rate of growth of output, and given by ...
Principles of Macroeconomics, Case/Fair/Oster, 10e
... The Aggregate Supply Curve Aggregate Supply in the Short Run Why an Upward Slope? Wages are a large fraction of total costs and wage changes lag behind price changes. This gives us an upward sloping short-run AS curve. ...
... The Aggregate Supply Curve Aggregate Supply in the Short Run Why an Upward Slope? Wages are a large fraction of total costs and wage changes lag behind price changes. This gives us an upward sloping short-run AS curve. ...
PRAGMATIC POLICY IN BRAZIL: THE
... The last 20 years have been a period of major political, economic, social, and institutional transformation in Brazil. The 1980s witnessed the end of the military regime that began in 1964. In 1985 the military ceded the presidency to a civilian; in 1988 a Constituent Assembly enacted a new constitu ...
... The last 20 years have been a period of major political, economic, social, and institutional transformation in Brazil. The 1980s witnessed the end of the military regime that began in 1964. In 1985 the military ceded the presidency to a civilian; in 1988 a Constituent Assembly enacted a new constitu ...
OFW Remittances: Magic Bullet?
... cub” economy. Despite its abundance of natural resources and early advantage of excellent command of the English language, the country has always languished in poverty. Even during periods of growth where GDP grew rapidly, this growth ultimately proved to be unsustainable as the economy has always b ...
... cub” economy. Despite its abundance of natural resources and early advantage of excellent command of the English language, the country has always languished in poverty. Even during periods of growth where GDP grew rapidly, this growth ultimately proved to be unsustainable as the economy has always b ...
1 - Whitman People
... V = 2. (Assume output = income and GDP = P × Q.) (a) What is income for 1994? What is nominal GDP? (b) By how much would the money supply need to change if income were $400 billion? (c) If annual GDP growth is 5%, by how much will the Ms need to change in 1995? (Use the GDP figure from Part (a).) (a ...
... V = 2. (Assume output = income and GDP = P × Q.) (a) What is income for 1994? What is nominal GDP? (b) By how much would the money supply need to change if income were $400 billion? (c) If annual GDP growth is 5%, by how much will the Ms need to change in 1995? (Use the GDP figure from Part (a).) (a ...
`France`–`the`new`sick`man`of`Europe?
... Historically,!the!phrase!‘sick!man!of!Europe’!can!be!traced!back!to!a! misquotation! of! Tsar! Nicholas! I! of! Russia! in! the! New! York! Times! in! 1860,! referring!to!the!Ottoman!Empire.!The!Tsar!described!the!Empire!as!the!sick! man!upon!the!Bosporus,!since!it!has!fallen!into!a!state!of!disrepa ...
... Historically,!the!phrase!‘sick!man!of!Europe’!can!be!traced!back!to!a! misquotation! of! Tsar! Nicholas! I! of! Russia! in! the! New! York! Times! in! 1860,! referring!to!the!Ottoman!Empire.!The!Tsar!described!the!Empire!as!the!sick! man!upon!the!Bosporus,!since!it!has!fallen!into!a!state!of!disrepa ...
The Political Economy of Growth
... results by Block-Blomberg (1992) confirm the findings of Alesina and others (1992) on this point. Tables 2 and 3, taken from Alesina and others (1992), present statistics that highlight the basic results. From table 2, the average frequency of government changes for the sample of all countries is 0. ...
... results by Block-Blomberg (1992) confirm the findings of Alesina and others (1992) on this point. Tables 2 and 3, taken from Alesina and others (1992), present statistics that highlight the basic results. From table 2, the average frequency of government changes for the sample of all countries is 0. ...
Module 16
... Inventories – stocks of goods held to satisfy future sales Inventory Investment – the value of the change in total inventories held in the economy during a given period. – Can be negative Unplanned inventory investment – occurs when actual sales are less than businesses expected, leading to unplanne ...
... Inventories – stocks of goods held to satisfy future sales Inventory Investment – the value of the change in total inventories held in the economy during a given period. – Can be negative Unplanned inventory investment – occurs when actual sales are less than businesses expected, leading to unplanne ...
CROSS-COUNTRY VARIATIONS IN NATIONAL ECONOMIC GROWTH RATES: THE ROLE OF aTECHNOLOGY"
... The third lesson is that by and large the economies that were rich in relative terms in 1870 are rich in relative terms today, and the economies that were poor in relative terms in 1870 are poor in relative terms today (Figure 3). Barro and Sala-i-Martin (1995) draw a distinction between what they c ...
... The third lesson is that by and large the economies that were rich in relative terms in 1870 are rich in relative terms today, and the economies that were poor in relative terms in 1870 are poor in relative terms today (Figure 3). Barro and Sala-i-Martin (1995) draw a distinction between what they c ...
NBER WORKING PAPER SERIES MACROECONOMIC RESPONSES BY DEVELOPING COUNTRIES TO CHANGES
... financial markets and reform of urealu goods and factor markets. The matrix in Table 1 represents this classification and provides some illustrative examples of the structural adjustment policies in question. While this paper is concerned with macroeconomic stabilisation policy in response to extern ...
... financial markets and reform of urealu goods and factor markets. The matrix in Table 1 represents this classification and provides some illustrative examples of the structural adjustment policies in question. While this paper is concerned with macroeconomic stabilisation policy in response to extern ...
Ragnar Nurkse's balanced growth theory
The balanced growth theory is an economic theory pioneered by the economist Ragnar Nurkse (1907–1959). The theory hypothesises that the government of any underdeveloped country needs to make large investments in a number of industries simultaneously. This will enlarge the market size, increase productivity, and provide an incentive for the private sector to invest.Nurkse was in favour of attaining balanced growth in both the industrial and agricultural sectors of the economy. He recognised that the expansion and inter-sectoral balance between agriculture and manufacturing is necessary so that each of these sectors provides a market for the products of the other and in turn, supplies the necessary raw materials for the development and growth of the other.Nurkse and Paul Rosenstein-Rodan were the pioneers of balanced growth theory and much of how it is understood today dates back to their work.Nurkse's theory discusses how the poor size of the market in underdeveloped countries perpetuates its underdeveloped state. Nurkse has also clarified the various determinants of the market size and puts primary focus on productivity. According to him, if the productivity levels rise in a less developed country, its market size will expand and thus it can eventually become a developed economy. Apart from this, Nurkse has been nicknamed an export pessimist, as he feels that the finances to make investments in underdeveloped countries must arise from their own domestic territory. No importance should be given to promoting exports.