Will the Real GDP Please Stand Up? (The Deflator Makes
... How do you get from Nominal GDP to Real GDP? You extract inflation from the numbers. The Bureau of Economic Analysis (BEA) uses its own GDP deflator for this purpose, which is somewhat different from the BEA's deflator for Personal Consumption Expenditures and quite a bit different from the better-k ...
... How do you get from Nominal GDP to Real GDP? You extract inflation from the numbers. The Bureau of Economic Analysis (BEA) uses its own GDP deflator for this purpose, which is somewhat different from the BEA's deflator for Personal Consumption Expenditures and quite a bit different from the better-k ...
Leading indicators of the business cycle: dynamic
... However, some factors that previously led to a decrease in amplitude of macroeconomic fluctuations could contribute to an increase of vulnerability of economies to the recent global economic crisis. For instance, excessive liberality in regulating the financial sector resulted in "bubbles" inflated ...
... However, some factors that previously led to a decrease in amplitude of macroeconomic fluctuations could contribute to an increase of vulnerability of economies to the recent global economic crisis. For instance, excessive liberality in regulating the financial sector resulted in "bubbles" inflated ...
GDP Highlights
... 2. Constant price (real) GDP Real GDP is expressed in the base-year prices for 2006. The purpose of GDP revaluation by base-year prices (real GDP) is to eliminate the effects of price changes/inflation in time series of GDP, so that changes in the series represent the changes in the physical volume ...
... 2. Constant price (real) GDP Real GDP is expressed in the base-year prices for 2006. The purpose of GDP revaluation by base-year prices (real GDP) is to eliminate the effects of price changes/inflation in time series of GDP, so that changes in the series represent the changes in the physical volume ...
The short run AS curve
... any given level of price shifts the AD curve. • Consumers, firms: exogenous changes in spending plans by consumers or firms (e.g. household savings before the Iraq war; pessimism after Lehman Bros bankruptcy) • Government: exogenous changes in fiscal, monetary and exchange rate policy ...
... any given level of price shifts the AD curve. • Consumers, firms: exogenous changes in spending plans by consumers or firms (e.g. household savings before the Iraq war; pessimism after Lehman Bros bankruptcy) • Government: exogenous changes in fiscal, monetary and exchange rate policy ...
Economic Outlook for FY2008 and FY2009(revised to reflect the
... 3. Half-year industrial production = rate of change from the previous term. The half-year unemployment rate and half-year current account balance are adjusted for seasonal factors and the figures on current account balance are converted into annualized rates. 4. Crude oil price = near-term contract ...
... 3. Half-year industrial production = rate of change from the previous term. The half-year unemployment rate and half-year current account balance are adjusted for seasonal factors and the figures on current account balance are converted into annualized rates. 4. Crude oil price = near-term contract ...
Chapter 16—Gaining from International Trade
... a. The empirical evidence indicates that countries with higher marginal tax rates have higher economic growth rates. b. Unlike other policies, supply-side tax cuts have their full impact on an economy instantaneously. c. The supply-side effects of changes in marginal tax rates take place over length ...
... a. The empirical evidence indicates that countries with higher marginal tax rates have higher economic growth rates. b. Unlike other policies, supply-side tax cuts have their full impact on an economy instantaneously. c. The supply-side effects of changes in marginal tax rates take place over length ...
Handout: Econ 209 The Keynesian Model This model was born out
... The Keynesian Model This model was born out of the Great Depression when it became obvious that markets were not operating efficiently, especially the labor market, and the Classic prescription was failing to bring the macroeconomy back to full employment. To appreciate the Keynesian model one must ...
... The Keynesian Model This model was born out of the Great Depression when it became obvious that markets were not operating efficiently, especially the labor market, and the Classic prescription was failing to bring the macroeconomy back to full employment. To appreciate the Keynesian model one must ...
Consumer Spending
... economists trying to understand the Great Depression. Most economists believe that the slump from 1929 to 1933 was driven by a collapse in investment spending. • But as the economy shrank, consumer spending also fell sharply, multiplying the effect on real GDP. • In the modern U.S. economy, taxes ar ...
... economists trying to understand the Great Depression. Most economists believe that the slump from 1929 to 1933 was driven by a collapse in investment spending. • But as the economy shrank, consumer spending also fell sharply, multiplying the effect on real GDP. • In the modern U.S. economy, taxes ar ...
Aggregate Supply
... deducting direct taxes, adding state benefits and paying for essentials such as food and shelter Dumping: when exports are priced below unit cost, or at a lower price than in the exporter’s home market ...
... deducting direct taxes, adding state benefits and paying for essentials such as food and shelter Dumping: when exports are priced below unit cost, or at a lower price than in the exporter’s home market ...
Uruguay (Country report) - Rabobank, Economic Research
... Uruguay was one of the fastest growing countries in Latin America in 2010. The economy grew by 8.5%, driven by both external and domestic demand. It was not the first year the country experienced a favorable economic development: the country managed to grow by 2.9% in crisis year 2009, while the ann ...
... Uruguay was one of the fastest growing countries in Latin America in 2010. The economy grew by 8.5%, driven by both external and domestic demand. It was not the first year the country experienced a favorable economic development: the country managed to grow by 2.9% in crisis year 2009, while the ann ...
Reading Ch 1 Money Growth (M2 Annual Rate) and the Business
... partial, even 90%, then it can be broken by a brute force increase in the base which is what the Fed did in 2Q08-2Q09 with QE-1. The 2Q09-2Q11 Trap. Over tis two year period the base increased at a 25.21% rate. Encountering a trap rate averaging 84% the M2 growth rate was only 3.96%, the M2/P growth ...
... partial, even 90%, then it can be broken by a brute force increase in the base which is what the Fed did in 2Q08-2Q09 with QE-1. The 2Q09-2Q11 Trap. Over tis two year period the base increased at a 25.21% rate. Encountering a trap rate averaging 84% the M2 growth rate was only 3.96%, the M2/P growth ...
Aalborg Universitet
... Chaaminade, 2007). Also, there have been attempts to broaden NSI approach to study the problems and challenges of development and underdevelopment (e.g. Muchie et al., 2003). Thus, NSI provides the conceptual approach or framework for studying both developed and developing economies at various stag ...
... Chaaminade, 2007). Also, there have been attempts to broaden NSI approach to study the problems and challenges of development and underdevelopment (e.g. Muchie et al., 2003). Thus, NSI provides the conceptual approach or framework for studying both developed and developing economies at various stag ...
Scott Brown`s Weekly Market Monitor
... long-run implementation framework “would not be necessary for some time,” but the discussion has begun. An economic downturn can be addressed through monetary policy or fiscal policy. Monetary policy is largely about changing short-term interest rates (the reserve requirement is not much of an optio ...
... long-run implementation framework “would not be necessary for some time,” but the discussion has begun. An economic downturn can be addressed through monetary policy or fiscal policy. Monetary policy is largely about changing short-term interest rates (the reserve requirement is not much of an optio ...
CHAPTER OVERVIEW
... Many of the exclusions from the GDP accounts involve financial transactions that transfer the ownership of existing assets. The sale of stock in a corporation is a transfer of part ownership of existing assets. New stock issues only dilute the share of ownership and are excluded as well. The sale of ...
... Many of the exclusions from the GDP accounts involve financial transactions that transfer the ownership of existing assets. The sale of stock in a corporation is a transfer of part ownership of existing assets. New stock issues only dilute the share of ownership and are excluded as well. The sale of ...
6.02 Understand economic indicators to recognize economic trends
... – Unemployment attributable to the time required to match production activities with qualified resources. Frictional unemployment essentially occurs because resources, especially labor, are in the process of moving from one production activity to another. ...
... – Unemployment attributable to the time required to match production activities with qualified resources. Frictional unemployment essentially occurs because resources, especially labor, are in the process of moving from one production activity to another. ...
President’s Report Board Directors
... Current Economic Developments - Addendum: Data released in the past week Nonfarm payrolls fell again in April, but by a smaller amount than seen over the previous five months. Since the onset of the recession, payrolls have been reduced by nearly 6 million. As a result, the unemployment rate has ris ...
... Current Economic Developments - Addendum: Data released in the past week Nonfarm payrolls fell again in April, but by a smaller amount than seen over the previous five months. Since the onset of the recession, payrolls have been reduced by nearly 6 million. As a result, the unemployment rate has ris ...
Assignment 2 Macro 201 Due 9-27-02
... must equal 1. The sum of all parts must not be greater than the whole. In this case, the GDP is the whole and it represents 1. The four shares (consumption, investment, net exports and government purchases) make up the GDP. For theoretical purposes if they were evenly divided as a part of GDP, then ...
... must equal 1. The sum of all parts must not be greater than the whole. In this case, the GDP is the whole and it represents 1. The four shares (consumption, investment, net exports and government purchases) make up the GDP. For theoretical purposes if they were evenly divided as a part of GDP, then ...
lecture notes
... B. Interpretations of the Phillips Curve have changed dramatically over the past three decades. 1. The original idea of a stable tradeoff between inflation and unemployment has given way to other views that focus more on long-run effects. 2. Most economists accept the idea of a short-run tradeoff—wh ...
... B. Interpretations of the Phillips Curve have changed dramatically over the past three decades. 1. The original idea of a stable tradeoff between inflation and unemployment has given way to other views that focus more on long-run effects. 2. Most economists accept the idea of a short-run tradeoff—wh ...
author and do not necessarily reflect those
... response to the extremely costly growth recession which had already afflicted the economy and the nation since the third quarter of 1987 (i.e. a ...
... response to the extremely costly growth recession which had already afflicted the economy and the nation since the third quarter of 1987 (i.e. a ...
PDF
... and a decline in GDP in 2009 to 4.1% was mainly due to economic recession in the Euro zone. In many countries there has been a change in the sector scope. The Czech Republic belongs to the industrial-oriented countries and the significance of recession is also demonstrated by the development of indu ...
... and a decline in GDP in 2009 to 4.1% was mainly due to economic recession in the Euro zone. In many countries there has been a change in the sector scope. The Czech Republic belongs to the industrial-oriented countries and the significance of recession is also demonstrated by the development of indu ...
Secular Stagnation: The Long View
... the short run, as costly investments in adaptation are sunk and existing technological complementarities are disrupted (see Andreas Hornstein and Per Krusell 1996). Thus, the steam engine had an immediate positive impact on output and productivity in textiles because until the 1830s its application ...
... the short run, as costly investments in adaptation are sunk and existing technological complementarities are disrupted (see Andreas Hornstein and Per Krusell 1996). Thus, the steam engine had an immediate positive impact on output and productivity in textiles because until the 1830s its application ...
Macro_2.3-_Inflation
... people's spending habits are not quick to change. •Also assume that output (Y) is not affected by the amount of money because it is based on production, not the value of the stuff produced. If the govenment increases the amount of money (M) what will happen to prices (P)? Ex: Assume money supply is ...
... people's spending habits are not quick to change. •Also assume that output (Y) is not affected by the amount of money because it is based on production, not the value of the stuff produced. If the govenment increases the amount of money (M) what will happen to prices (P)? Ex: Assume money supply is ...
Unit 3: Aggregate Demand and Supply and Fiscal Policy
... need to charge higher interest rates to get a REAL return on their loans. • Higher interest rates discourage consumer spending and business investment. WHY? ...
... need to charge higher interest rates to get a REAL return on their loans. • Higher interest rates discourage consumer spending and business investment. WHY? ...
AP Macro 3-10 Unit Summary
... need to charge higher interest rates to get a REAL return on their loans. • Higher interest rates discourage consumer spending and business investment. WHY? ...
... need to charge higher interest rates to get a REAL return on their loans. • Higher interest rates discourage consumer spending and business investment. WHY? ...