Macro economics 101
... Inflation rate – percentage change in price level from the previous period CPI – Consumer Price Index – measure of the overall cost of G&S bought by a typical consumer. Measure of the aggregate price level in the economy. Producer Price Index – measures the cost of a basket of G&S bought by firms. B ...
... Inflation rate – percentage change in price level from the previous period CPI – Consumer Price Index – measure of the overall cost of G&S bought by a typical consumer. Measure of the aggregate price level in the economy. Producer Price Index – measures the cost of a basket of G&S bought by firms. B ...
nal Review Question Sheet.
... 5. Explain and illustrate how the following change shift the BP curve: 1) Foreign country’s national income or Yf goes up. 2) Foreign Exchange Rate of S goes up. 3) Foreign Country’s interest rate goes up. 4) Foreign Exchange Rate is expected to rise. ...
... 5. Explain and illustrate how the following change shift the BP curve: 1) Foreign country’s national income or Yf goes up. 2) Foreign Exchange Rate of S goes up. 3) Foreign Country’s interest rate goes up. 4) Foreign Exchange Rate is expected to rise. ...
Izmir University of Economics Department of Economics ECON 102
... 5) The total market value of all final goods and services produced within a given period by factors of production located within a country is a. Gross Domestic Product (GDP) b. Gross National Product (GNP) c. Net National Product (NNP) d. Net National Income (NNI) 6) Which of the following is includ ...
... 5) The total market value of all final goods and services produced within a given period by factors of production located within a country is a. Gross Domestic Product (GDP) b. Gross National Product (GNP) c. Net National Product (NNP) d. Net National Income (NNI) 6) Which of the following is includ ...
Monetary Policy
... •Monetary policy is the expansion or contraction of the money supply in order to influence the cost and availability of credit. ...
... •Monetary policy is the expansion or contraction of the money supply in order to influence the cost and availability of credit. ...
Slide - MyWeb
... The simple “Keynesian” view of the aggregate supply curve holds that at any given moment, the economy has a clearly defined capacity, or maximum, output. With planned aggregate expenditure of AE1 and aggregate demand of AD1, equilibrium output is Y1. A shift of planned aggregate expenditure to AE2, ...
... The simple “Keynesian” view of the aggregate supply curve holds that at any given moment, the economy has a clearly defined capacity, or maximum, output. With planned aggregate expenditure of AE1 and aggregate demand of AD1, equilibrium output is Y1. A shift of planned aggregate expenditure to AE2, ...
ECO 3003
... consistent access to the Internet: Learning at a distance may be a very different environment for many of you. You will generally set your own schedules, participate in class activities at your convenience, and work at your own pace. You may spend some additional time online during the first few w ...
... consistent access to the Internet: Learning at a distance may be a very different environment for many of you. You will generally set your own schedules, participate in class activities at your convenience, and work at your own pace. You may spend some additional time online during the first few w ...
INSTITUTE OF ACTUARIES OF INDIA EXAMINATIONS 18 November 2013
... Q. 32) Describe with the aid of a diagram the intended effect of advertising on a product’s demand curve and explain how advertising achieves this effect. Q. 33) ...
... Q. 32) Describe with the aid of a diagram the intended effect of advertising on a product’s demand curve and explain how advertising achieves this effect. Q. 33) ...
Lecture 16
... The right mix of Monetary and Fiscal policies is needed to combat their recession or simply wait it out. The Recessions of the 1990's These were surely "real business cycles ", caused my mismanagement of aggregate supply. The Russians made fundamental mistakes with their economy. Once the Communist ...
... The right mix of Monetary and Fiscal policies is needed to combat their recession or simply wait it out. The Recessions of the 1990's These were surely "real business cycles ", caused my mismanagement of aggregate supply. The Russians made fundamental mistakes with their economy. Once the Communist ...
strong and sustainable economic growth economically
... be more inclined to increase their propensity to spend and therefore borrow additional money. In recent months, some consumers have experienced phenomenal decreases in their wealth due to the sharp fall in share prices (August 2011) due to uncertainty in global financial markets and the global econo ...
... be more inclined to increase their propensity to spend and therefore borrow additional money. In recent months, some consumers have experienced phenomenal decreases in their wealth due to the sharp fall in share prices (August 2011) due to uncertainty in global financial markets and the global econo ...
2011 ECN315111 Sample Exam suggested answers
... Automatic Stabilsers. This term refers to policy instruments - in particular unemployment benefits and progressive income tax rates - that affect economic output without specific, discretionary changes to fiscal policy. For example, during periods of recessions (two or more consecutive quarters wher ...
... Automatic Stabilsers. This term refers to policy instruments - in particular unemployment benefits and progressive income tax rates - that affect economic output without specific, discretionary changes to fiscal policy. For example, during periods of recessions (two or more consecutive quarters wher ...
14.02 Principles of Macroeconomics Problem Set 1 Fall 2005
... water and blankets. This increases GDP by $100 million. ...
... water and blankets. This increases GDP by $100 million. ...
AD-AS Short Run
... is low, firms typically have excess capacity. This means that output can be expanded without causing a large increase in unit costs. Therefore, only a small increase in price may be needed to induce them to expand production. Once output gets closer to capacity, however, increases in output cause la ...
... is low, firms typically have excess capacity. This means that output can be expanded without causing a large increase in unit costs. Therefore, only a small increase in price may be needed to induce them to expand production. Once output gets closer to capacity, however, increases in output cause la ...
a. Depositors become concerned about the safety of depository
... Assume the economy is initially in equilibrium at point E. If the Fed wrongly believes that the natural rate of unemployment is higher and acts to bring the economy back to its supposed potential, it will decrease the money supply. This will cause the interest rate to rise from r1 to r2, causing the ...
... Assume the economy is initially in equilibrium at point E. If the Fed wrongly believes that the natural rate of unemployment is higher and acts to bring the economy back to its supposed potential, it will decrease the money supply. This will cause the interest rate to rise from r1 to r2, causing the ...
Capitalist Development in the Twentieth Century - Assets
... (AD) adjusts passively to supply forces, as in neoclassical growth theory, supply-side variables such as rates of growth of the labour force and technological progress are of chief interest. On the other hand, if growth is a process in which AD induces adjustments on the supply side, the focus is on ...
... (AD) adjusts passively to supply forces, as in neoclassical growth theory, supply-side variables such as rates of growth of the labour force and technological progress are of chief interest. On the other hand, if growth is a process in which AD induces adjustments on the supply side, the focus is on ...
Read complete text - Levy Economics Institute of Bard College
... that too much attention has been paid to the measures deployed to shore up the banking system, and that the approaches underlying the emergency financial policy measures of the recent period and those of the 1930s were actually quite similar. The more meaningful divergence between the 1930s and the ...
... that too much attention has been paid to the measures deployed to shore up the banking system, and that the approaches underlying the emergency financial policy measures of the recent period and those of the 1930s were actually quite similar. The more meaningful divergence between the 1930s and the ...
Economics 101
... 10. Jamee Diamond offers you the following risk free promissory note today: “I Jamee Diamond promise to give you $2,000 two years from today.” Suppose the current market interest rate is 2%. Suppose there is no inflation. A. Jamee’s promise is worth less than $2,000 today. B. Jamee’s promise is wor ...
... 10. Jamee Diamond offers you the following risk free promissory note today: “I Jamee Diamond promise to give you $2,000 two years from today.” Suppose the current market interest rate is 2%. Suppose there is no inflation. A. Jamee’s promise is worth less than $2,000 today. B. Jamee’s promise is wor ...
Parkin-Bade Chapter 22
... Understand cause & consequences of change in AS/AD • Short run vs Long run • Effects on economic growth, prices, unemployment. ...
... Understand cause & consequences of change in AS/AD • Short run vs Long run • Effects on economic growth, prices, unemployment. ...
Keynes`s relevance in the new millennium
... scarce. Eventually, people cannot be fooled. The weakness with this particular line of argument is that it predicts that any fluctuations in output should be random and serially uncorrelated while the evidence tells us that booms and recessions do occur and are persistent, and also that policy chang ...
... scarce. Eventually, people cannot be fooled. The weakness with this particular line of argument is that it predicts that any fluctuations in output should be random and serially uncorrelated while the evidence tells us that booms and recessions do occur and are persistent, and also that policy chang ...
John Maynard Keynes - Federal Reserve Bank of Richmond
... the most prominent, termed themselves “Keynesians.” Those who called themselves non- or anti-Keynesians were a beleaguered minority, supplemented, it must be said, by some important writers on economics who were not members of the professional guild.2 Governments around the world hastened to adopt “ ...
... the most prominent, termed themselves “Keynesians.” Those who called themselves non- or anti-Keynesians were a beleaguered minority, supplemented, it must be said, by some important writers on economics who were not members of the professional guild.2 Governments around the world hastened to adopt “ ...
245 EFFECTS OF THE ROMANIAN ECONOMIC CRISIS UPON THE
... The high price raising of loans during 2004-2007, mainly towards the population, from want of boosting domestic production emphasized the economy’s extreme vulnerability, by augmenting the external debt. The main reasons of this phenomenon are: - the positive expectations of the loan institutions re ...
... The high price raising of loans during 2004-2007, mainly towards the population, from want of boosting domestic production emphasized the economy’s extreme vulnerability, by augmenting the external debt. The main reasons of this phenomenon are: - the positive expectations of the loan institutions re ...
