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Issues in Microeconomics Econ 101
Issues in Microeconomics Econ 101

... economic growth of real GDP. This is, as shown in the above figure, is far from reality. Ups and downs in real GDP are basically caused by changes in shocks to aggregate demand (a significant change in desired spending by consumers, business, government and foreigners). ...
vsi11 ge Fidrmuc  16149159 en
vsi11 ge Fidrmuc 16149159 en

... Theory of Optimum Currency Areas (henceforth OCA; Mundell, 1961). Bayoumi and Eichengreen applied this methodology to assess the merits of adopting the common currency in the European Union. They sought to identify which European countries tend to encounter shocks predominantly symmetric or asymmetr ...
Problem Set 4 Question 2
Problem Set 4 Question 2

... Looking at the IS-LM diagram first, we see that the fall in government spending causes the IS Curve to shift to the left, from IS0 to IS1. On the AS-AD diagram, the fiscal contraction causes the AD Curve to shift to the left, from AD0 to AD1. The new equilibrium has a lower output level, Y1, and als ...
The effects of Monetary Policy shocks across the Greek Regions
The effects of Monetary Policy shocks across the Greek Regions

The case for fiscal policy
The case for fiscal policy

A MONETARY POLICY RULE BASED ON FUZZY CONTROL IN AN
A MONETARY POLICY RULE BASED ON FUZZY CONTROL IN AN

... with the actual policy of the American central bank (FED) in the period 1980-1990. Now, in order to preserve this agreement with data, other numbers are assigned to these parameters. By that way, the policy does not depend on values of economic variables generated by the economy itself, but also on ...
Wage theory, new deal labor policy and the Great Depression: were
Wage theory, new deal labor policy and the Great Depression: were

... of attention and criticism. The reason for the attention is explained by Nobel laureate Edward Prescott: "The Great Depression and business cycles are similar in that both include variation in output accounted for in large part by variations in labor input to production" (1999: 26). Thus, Prescott i ...
Real Economic Consequences of Financial Crises
Real Economic Consequences of Financial Crises

... in the absence of the Financial Crisis. This corresponds to a total accumulated output loss of around 12 per cent of GDP over the period 2009-13. An important question when reviewing the transmission process of the Financial Crisis is whether there have been periods showing signs of a general "credi ...
Long-Run and Short-Run Concerns: Growth, Productivity
Long-Run and Short-Run Concerns: Growth, Productivity

... in his or her own business for 1 or more hours per week, 2. who works without pay for 15 or more hours ...
Economic Ideas, the Monetary Order and the Uneasy Case for
Economic Ideas, the Monetary Order and the Uneasy Case for

... Economic ideas, as we shall henceforth label the state of economic understanding among the agents it is designed to serve, play a ubiquitous role in any monetary order. Most obviously, they inform the expectations on which agents’ day by day decisions are taken, but in addition they are the source o ...
NBER WORKING PAPER SERIES ON THE IRRELEVANCE OF PUBLIC FINANCIAL POLICY
NBER WORKING PAPER SERIES ON THE IRRELEVANCE OF PUBLIC FINANCIAL POLICY

... This paper establishes conditions under which public financial policy has neither real nor inflationary effects; under which it has inflationary effects, but not real effects; and under which it has real effects. An increase in government debt (keeping real expenditures fixed), accompanied by a decr ...
Consulta: creatorFacets:"Sun, Lili" Registros recuperados: 9 Data
Consulta: creatorFacets:"Sun, Lili" Registros recuperados: 9 Data

... useful typology for grouping countries by GDP and forest cover per capita, (2) to determine if the framework can enhance our understanding of the relationship between forest cover and GDP per capita, and (3) to investigate why countries in the four-quadrant world occupy different quadrants, and to d ...
7. Medium-Term Projections
7. Medium-Term Projections

... Accordingly, global liquidity conditions will play an important role on the future course of monetary policy. The current monetary policy and the instruments designed by the CBRT provide a flexible framework to contain the adverse effects of the global shocks on the domestic economy. Currently, the ...
NQF Level 4 - Macmillan Education South Africa
NQF Level 4 - Macmillan Education South Africa

Full Employment Policies Must Consider Effective Demand and
Full Employment Policies Must Consider Effective Demand and

Natural Catastrophes: A Canadian Economic Perspective
Natural Catastrophes: A Canadian Economic Perspective

... April 14, 2014 ...
Does consumer credit support domestic growth or imports?
Does consumer credit support domestic growth or imports?

... Hence, tests are conducted after differentiation of all the series. The results for credit do not all converge. If, for the ERS and ADF tests, the transform series is stationary, other tests reject the stationarity hypothesis. Thus, this series will be regarded as I(1) later in the study. If it turn ...
BEING KEYNESIAN IN THE SHORT TERM AND CLASSICAL IN
BEING KEYNESIAN IN THE SHORT TERM AND CLASSICAL IN

... in particular, technology and the real wage are given, and it is, consequently, possible to refer to a long-term equilibrium, also called steady state or long-term center of gravitation3 . The definition of this equilibrium is conventional. On the classical long-term equilibrium, the profit rates am ...
Slide 1
Slide 1

Problem Session-2
Problem Session-2

... paradox of saving in the short run, under different assumptions about the response of investment to output and the interest rate. Here we consider the issue one last time in the context of the AS-AD model. Suppose the economy begins with output equal to its natural level. Then there is a decrease in ...
PDF Download
PDF Download

... In their role as economic agents, households in the model take prices, taxes, public investment, the retirement age and retirement benefits as given when choosing consumption, savings, and labor supply. In their role as voters, households choose among office motivated parties that offer policy platf ...
Building a Model of Aggregate Supply and
Building a Model of Aggregate Supply and

Document
Document

Comments on Paul Davidson`s “Full Employment, Open Economy
Comments on Paul Davidson`s “Full Employment, Open Economy

... change in the real exchange rate, then ...” Davidson clearly needs to have some fixed prices for his “Keynesian” analysis, although he chooses to hold the real exchange rate constant, rather than wages. This is the vertical axis of the Swan diagram, and Davidson is describing movements along a hori ...
Insert D, Ch 29
Insert D, Ch 29

... substitution effect does not apply. Also, whereas when dealing with the demand for a single product the consumer’s income is assumed to be fixed, the AD curve specifically excludes this assumption. Movement down the AD curve indicates lower prices but, with regard to the circular flow of economic ac ...
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Business cycle

The business cycle or economic cycle is the downward and upward movement of gross domestic product (GDP) around its long-term growth trend. These fluctuations typically involve shifts over time between periods of relatively rapid economic growth (expansions or booms), and periods of relative stagnation or decline (contractions or recessions).Used in the indefinite sense, a business cycle is a period of time containing a single boom and contraction in sequence.Business cycles are usually measured by considering the growth rate of real gross domestic product. Despite being termed cycles, these fluctuations in economic activity can prove unpredictable.A boom-and-bust cycle is one in which the expansions are rapid and the contractions are steep and severe.
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