National Income and Price Determination Mr. Bordelon Review
... and an inflationary gap. Use the graph to help explain how fiscal policy is used to close the gaps. GRAPH FRQ #1 2005B #2, 7 points Labor productivity is output per unit of labor. An increase in labor productivity is a source of economic growth. a. Identify two sources of increase in labor productiv ...
... and an inflationary gap. Use the graph to help explain how fiscal policy is used to close the gaps. GRAPH FRQ #1 2005B #2, 7 points Labor productivity is output per unit of labor. An increase in labor productivity is a source of economic growth. a. Identify two sources of increase in labor productiv ...
1 Etatism in the Turkish Economy, 1930
... • Price decreases, production with less than full capacity, unemployment • Demand crisis due to decrease in prices and production • Solution to this problem: government intervention in fiscal and monetary policy, increase public expenditure • Free market has problems in allocating demand and supply ...
... • Price decreases, production with less than full capacity, unemployment • Demand crisis due to decrease in prices and production • Solution to this problem: government intervention in fiscal and monetary policy, increase public expenditure • Free market has problems in allocating demand and supply ...
Structural labor market reforms!
... ►Germany faced serious problems in the late 1990s, among which overcoming the high level of unemployment was crucial ►These problems have been linked to the high level of employment protection, high labor costs, and the strictly regulated labor market ►Although the availability of rather generous in ...
... ►Germany faced serious problems in the late 1990s, among which overcoming the high level of unemployment was crucial ►These problems have been linked to the high level of employment protection, high labor costs, and the strictly regulated labor market ►Although the availability of rather generous in ...
Econ 302 _______Name
... the person is a net borrower. the person is neither a saver nor a borrower (like Polonius). ...
... the person is a net borrower. the person is neither a saver nor a borrower (like Polonius). ...
below and above MW
... While it is important to reduce corruption and to make public officials more accountable, it is also important to improve the regulatory environment. • The perception that government policies often change and that the changes are hard to predict discourages investment. (Ideally, politicians should ...
... While it is important to reduce corruption and to make public officials more accountable, it is also important to improve the regulatory environment. • The perception that government policies often change and that the changes are hard to predict discourages investment. (Ideally, politicians should ...
MACROECONOMIC THEORY I Martin Boileau Final Examination 1
... such that c1 = y1 +d1 +b1 in equilibrium. Assume that the endowment y1 is distributed with mean 0 and variance ¾2 . Also assume that both d1 and b1 are distributed with mean d¹ and variance ¾2 . Finally, assume that the correlations between y1 , d1 , and b1 are as follows: Corr(y1 ; d1 ) = ¡1, Corr( ...
... such that c1 = y1 +d1 +b1 in equilibrium. Assume that the endowment y1 is distributed with mean 0 and variance ¾2 . Also assume that both d1 and b1 are distributed with mean d¹ and variance ¾2 . Finally, assume that the correlations between y1 , d1 , and b1 are as follows: Corr(y1 ; d1 ) = ¡1, Corr( ...
Midterm #2
... Suppose in the neo-classical (Solow) growth model, Country A and Country B share the same technology, same depreciation rate of capital, same savings rate, and same population growth rate. Country A has a higher initial capital-labor ratio than Country B. Which is also true? a. Country A will have a ...
... Suppose in the neo-classical (Solow) growth model, Country A and Country B share the same technology, same depreciation rate of capital, same savings rate, and same population growth rate. Country A has a higher initial capital-labor ratio than Country B. Which is also true? a. Country A will have a ...
Understanding Your Local Economy - Mississippi State University
... – Anatomy of a local economy – Data • Demographics • Economics • Fiscal ...
... – Anatomy of a local economy – Data • Demographics • Economics • Fiscal ...
3. National Income: Where it Comes From and Where it Goes
... Congress authorized $700 billion to help shore up financial institutions ...
... Congress authorized $700 billion to help shore up financial institutions ...
Introduction
... to Ethiopia for the conference. I hope you enjoy your stay • I also like to apologize (to the organizers and particularly to the discussant) for not having the paper ready for the discussant. My life has taken a sudden turn since I agreed to present the paper • So, rather than present a full paper w ...
... to Ethiopia for the conference. I hope you enjoy your stay • I also like to apologize (to the organizers and particularly to the discussant) for not having the paper ready for the discussant. My life has taken a sudden turn since I agreed to present the paper • So, rather than present a full paper w ...
exercises for q2
... d) none of the above. 2. Cyclical unemployment is frequently caused by: a) shifts in the economy that make certain job skills obsolete; b) temporary layoffs in industries such as agriculture; c) the impact of recession on employment; d) none of the above. 3. The natural rate of unemployment tends to ...
... d) none of the above. 2. Cyclical unemployment is frequently caused by: a) shifts in the economy that make certain job skills obsolete; b) temporary layoffs in industries such as agriculture; c) the impact of recession on employment; d) none of the above. 3. The natural rate of unemployment tends to ...
Burkina Faso – growth without poverty reduction - unu
... Causes of poverty 1. Rural productivity Output has grown the most in agriculture, at 50%; agriculture offered the highest sectoral returns in real terms during 1994-2011. Nevertheless, it is still only tantamount to 2.5% average annual real growth over this period, which is very low given the countr ...
... Causes of poverty 1. Rural productivity Output has grown the most in agriculture, at 50%; agriculture offered the highest sectoral returns in real terms during 1994-2011. Nevertheless, it is still only tantamount to 2.5% average annual real growth over this period, which is very low given the countr ...
Rice
... where Q is the total quantity of people attending a performance-- i.e. Q = qold + qyoung. Assume that the theater can sell fractional quantities of tickets. (Fractional quantities are allowed, perhaps because the q's and Q represent more the "average" quantity sold than a fixed number for each perfo ...
... where Q is the total quantity of people attending a performance-- i.e. Q = qold + qyoung. Assume that the theater can sell fractional quantities of tickets. (Fractional quantities are allowed, perhaps because the q's and Q represent more the "average" quantity sold than a fixed number for each perfo ...
A Historical Perspective on the New Economy
... itself largely driven by the electrification of industry were almost as far reaching: without electricity, no mass production. Mass production in its turn brought the large joint-stock corporation, the continent- and then world-wide market in staple manufactured goods, the industrial labor union, an ...
... itself largely driven by the electrification of industry were almost as far reaching: without electricity, no mass production. Mass production in its turn brought the large joint-stock corporation, the continent- and then world-wide market in staple manufactured goods, the industrial labor union, an ...
Economics on Main Street: Concepts for American Voters
... • whose definition of equity? (alternative non-price allocation mechanisms) ...
... • whose definition of equity? (alternative non-price allocation mechanisms) ...
market labor supply curve
... – allocate labor and the price of labor is the real wage rate (the wage rate adjusted for the price level). – In 2002, labor earned 72 percent of total income in the United States. – The average hourly wage rate was close to $25 • $21 in wage or salary and $4 in benefits. ...
... – allocate labor and the price of labor is the real wage rate (the wage rate adjusted for the price level). – In 2002, labor earned 72 percent of total income in the United States. – The average hourly wage rate was close to $25 • $21 in wage or salary and $4 in benefits. ...
Assignment 12
... 1. Using the rule of 72, calculate the approximate doubling times for (a) a $2,000 savings account that pays 9 percent interest per year and (b) real GDP growing at 3 percent per year. What must the rate of interest be if you initial investment of $25,000 is worth $50,000 after twelve years? 2. How ...
... 1. Using the rule of 72, calculate the approximate doubling times for (a) a $2,000 savings account that pays 9 percent interest per year and (b) real GDP growing at 3 percent per year. What must the rate of interest be if you initial investment of $25,000 is worth $50,000 after twelve years? 2. How ...
スライド 1 - GRIPS
... participant acts as a price-taker. • In the competitive markets, prices respond automatically to excess demand and supply and will adjust until an equilibrium is reached such that Qs=Qd (no excess demand nor supply). • Excess demand (supply) of a good puts pressure to raise (lower) its relative pric ...
... participant acts as a price-taker. • In the competitive markets, prices respond automatically to excess demand and supply and will adjust until an equilibrium is reached such that Qs=Qd (no excess demand nor supply). • Excess demand (supply) of a good puts pressure to raise (lower) its relative pric ...
The Labor Market
... the cost efficiency of each. – Cost efficiency: the amount of output associated with an additional dollar spent on an input; the MPP of an input divided by its price (or cost). – The most cost-efficient input is the one that produces the most added output per dollar. ...
... the cost efficiency of each. – Cost efficiency: the amount of output associated with an additional dollar spent on an input; the MPP of an input divided by its price (or cost). – The most cost-efficient input is the one that produces the most added output per dollar. ...
Homework 5
... the automatic adjustment impacts of outcomes in the labor and loanable funds market. The economy is in a boom. Therefore firms are increasing their scale of production. The demand for labor shifts up. In equilibrium, real wages and labor increase. This increases the cost of production. To produce an ...
... the automatic adjustment impacts of outcomes in the labor and loanable funds market. The economy is in a boom. Therefore firms are increasing their scale of production. The demand for labor shifts up. In equilibrium, real wages and labor increase. This increases the cost of production. To produce an ...
Notes for Chapter 15 - FIU Faculty Websites
... The way we achieve this in the SR is by increasing employment to full-employment productivity. (In the short run all you can do is hire or fire). ...
... The way we achieve this in the SR is by increasing employment to full-employment productivity. (In the short run all you can do is hire or fire). ...
M03_ABEL4987_7E_IM_C03
... 2. Same factors (supply shocks, size of capital stock) that shift firms’ labor demand cause shifts in aggregate labor demand III. The Supply of Labor (Sec. 3.3) A. Supply of labor is determined by individuals 1. Aggregate supply of labor is sum of individuals’ labor supply 2. Labor supply of individ ...
... 2. Same factors (supply shocks, size of capital stock) that shift firms’ labor demand cause shifts in aggregate labor demand III. The Supply of Labor (Sec. 3.3) A. Supply of labor is determined by individuals 1. Aggregate supply of labor is sum of individuals’ labor supply 2. Labor supply of individ ...
IrelandPresentation
... • Decrease in labor productivity lead to divergence • High wage growth compared to low productivity growth • Net productivity: Productivity growth less wage growth • Positive growth in labor productivity (1973) lead to convergence • Negative labor force growth rates and Labor share near 70% lead to ...
... • Decrease in labor productivity lead to divergence • High wage growth compared to low productivity growth • Net productivity: Productivity growth less wage growth • Positive growth in labor productivity (1973) lead to convergence • Negative labor force growth rates and Labor share near 70% lead to ...
Fei–Ranis model of economic growth
The Fei–Ranis model of economic growth is a dualism model in developmental economics or welfare economics that has been developed by John C. H. Fei and Gustav Ranis and can be understood as an extension of the Lewis model. It is also known as the Surplus Labor model. It recognizes the presence of a dual economy comprising both the modern and the primitive sector and takes the economic situation of unemployment and underemployment of resources into account, unlike many other growth models that consider underdeveloped countries to be homogenous in nature. According to this theory, the primitive sector consists of the existing agricultural sector in the economy, and the modern sector is the rapidly emerging but small industrial sector. Both the sectors co-exist in the economy, wherein lies the crux of the development problem. Development can be brought about only by a complete shift in the focal point of progress from the agricultural to the industrial economy, such that there is augmentation of industrial output. This is done by transfer of labor from the agricultural sector to the industrial one, showing that underdeveloped countries do not suffer from constraints of labor supply. At the same time, growth in the agricultural sector must not be negligible and its output should be sufficient to support the whole economy with food and raw materials. Like in the Harrod–Domar model, saving and investment become the driving forces when it comes to economic development of underdeveloped countries.