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Growth rate of potential GDP
Growth rate of potential GDP

... demographic factors affecting the labour force, investment, total factor productivity, etc. This interpretation corresponds to the steady-state rate of economic growth in neoclassical models. This value usually changes over relatively long periods of time, and only as a result of significant lasting ...
FedViews
FedViews

... Movement in long-term unemployment over the business cycle largely reflects changes in jobfinding rates. During and immediately after the Great Recession, finding a job was difficult. As the economy improved and job opportunities increased, job-finding rates recovered, especially for those unemploye ...
Monetary Policy and the Interest Rate
Monetary Policy and the Interest Rate

... Monetary Policy and the Interest Rate Use the money market model to explain how the Fed uses monetary policy to stabilize the economy in the short run. Remember, this is the nominal interest rate here. Fed increases MS through openmarket operations to buy T-bills from large commercial banks. The in ...
GDP Notes - MathiasLink
GDP Notes - MathiasLink

... impact on incomes of individuals and their consumption and savings behavior! ...
Le principali grandezze macroeconomiche II
Le principali grandezze macroeconomiche II

... going to start a new job (+ those who are under unemployment protection programs) Important: those who are not looking for a job are not considered unemployed (e.g., housewife and students are not unemployed) ...
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On the Link Between Cycles and Growth
On the Link Between Cycles and Growth

... • Anything interesting is related to macroeconomic thinking and contributes to macroeconomic outcome. • Macro outcome is the aggregation of individual and firm behaviors. ...
Chapter 22
Chapter 22

... In national accounts such as the United Nations System of National Accounts (UNSNA), gross value added is obtained by deducting intermediate consumption from gross output. Thus gross value added is equal to net output. ...
The Self Regulating Economy - Long Beach Unified School
The Self Regulating Economy - Long Beach Unified School

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Econ 113: September 14, 2006
Econ 113: September 14, 2006

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SSEMA1 The student will illustrate the means by which economic

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Untitled

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What is Macroeconomics?

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File - Ms. Nancy Ware`s Economics Classes
File - Ms. Nancy Ware`s Economics Classes

... For example, if the Fed thought the stock market was at an unsustainably high level, should the Fed intervene and try to slow down investors? Some people don’t want the Fed to intervene in any market. However, if the stock market bubble bursts, the damage can be very painful, so maybe the Fed should ...
Sovereign Debtors in Distress
Sovereign Debtors in Distress

... Many important emerging markets have, so far this century, achieved:  Lower debt levels than advanced economies;  improved credit ratings;  lower sovereign spreads; and  less procyclical fiscal policies. ...
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theoretically, that is.

... You may have a different sort of problem where you start with the economy at equilibrium, but then there’s a demand or supply shock taking the economy out of equilibrium. Say the economy is at full PL0 and output Y employment...price is ___ isF___. PL ...
Unit 3: Measuring Economic Performance
Unit 3: Measuring Economic Performance

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clicking here - Ken Farr (GCSU)
clicking here - Ken Farr (GCSU)

... Which of the following best describes the difference between gross domestic product (GDP) and gross national product (GNP)? a. GDP measures output produced domestically, while GNP measures the output of citizens regardless of where it is generated. b. GDP measures the output of citizens regardless o ...
Chapter 17 Disputes Over Macro Theory and Policy
Chapter 17 Disputes Over Macro Theory and Policy

... 1. The view that business cycles are caused by real factors affecting aggregate supply such as a decline in productivity, which causes a decline in AS. 2. In the real-business cycle theory declines in GDP mean less demand for money. Here, the supply of money is decreased after the demand declines. A ...
AGENDA 2 1 13 ATTACH LAPC Economics EC 110 Principles of
AGENDA 2 1 13 ATTACH LAPC Economics EC 110 Principles of

... d. Explain when deficits or surpluses are appropriate from a Keynesian perspective. e. Identify limitations of fiscal policy. f. Explain potential dangers of a large public debt. g. Evaluate recent fiscal policy responses to the Great Recession. Describe Monetary Policy. Learning Objectives a. Expla ...
Global Tensions and Economic Security, 2015 CCMR Executive
Global Tensions and Economic Security, 2015 CCMR Executive

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Circular Flow fin - Business-TES
Circular Flow fin - Business-TES

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14.02 Principles of Macroeconomics Problem Set 1    *Solution*
14.02 Principles of Macroeconomics Problem Set 1 *Solution*

... Autonomous spending is the part of demand for goods that does not depend on output. The multiplier tells us how much equilibrium output will change for a given change in autonomous spending. For example, if investment increases by 500, then the equilibrium output will rise by 1,000 (500 *2). Why? F ...
Business Cycles, Unemployment, and Inflation
Business Cycles, Unemployment, and Inflation

... • Occurs due to changes in the structure of the demand for labor Cyclical unemployment • Caused by the recession phase of the business cycle ...
Eco120Int_Lecture1
Eco120Int_Lecture1

... transaction refers to the record of receipts from the sale of goods and services to foreigners (exports), the payments for goods and services bought from foreigners (imports), and also property income (such as interest and profits) and current transfers (such as gifts) received from and paid to fore ...
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Recession

In economics, a recession is a business cycle contraction. It is a general slowdown in economic activity. Macroeconomic indicators such as GDP (gross domestic product), investment spending, capacity utilization, household income, business profits, and inflation fall, while bankruptcies and the unemployment rate rise.Recessions generally occur when there is a widespread drop in spending (an adverse demand shock). This may be triggered by various events, such as a financial crisis, an external trade shock, an adverse supply shock or the bursting of an economic bubble. Governments usually respond to recessions by adopting expansionary macroeconomic policies, such as increasing money supply, increasing government spending and decreasing taxation.
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