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Economic Update April 2011
Economic Update April 2011

... • “A big factor in the lower unemployment rate is that the proportion of people who either have a job or are looking for one is surprisingly low for this stage of the recovery.” – • “Workers' paychecks were flat in March. Average hourly earnings held steady at $22.87, unchanged from February. Over t ...
Discretionary Fiscal Policy and Automatic Stabilizers
Discretionary Fiscal Policy and Automatic Stabilizers

... One of the goals of economic policy is to stabilize the economy. This means promoting full employment and stable prices. To accomplish this, aggregate demand must be near the full-employment level of output. If aggregate demand is too low, there will be unemployment. If aggregate demand is too high, ...
Chapter 02 PowerPoint Presentation
Chapter 02 PowerPoint Presentation

... given year. As long as a company is within a country’s border, their numbers go into the country’s GDP (even if they are foreign-owned). ...
Economic Activity in a Changing World
Economic Activity in a Changing World

...  Prosperity – peak economic activity  Unemployment is low, production high, new businesses open, people are spending, demand high ...
Economic Growth & Stability
Economic Growth & Stability

... consumer spending creates a shortage of goods which causes prices to rise ► Cost-push inflation –Prices rise to due per unit cost increases ► Tough to distinguish which is which in a real world setting ...
Identify the factors of production and why they are necessary for the
Identify the factors of production and why they are necessary for the

... Standard 1 Understand the fundamental concepts relevant to the development of a market economy SS.912.E.1.12 Examine the four phases of the business cycle (peak, contraction unemployment, trough, expansion inflation) ...
Economics and Business Impact
Economics and Business Impact

... 3) How do you think that productivity is impacted by the business cycle? 4) How do you think that productivity impacts the ...
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Economic Ups & Downs Activity

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Austerity in Recession: A Terribly Damaging

... [email protected] ...
The KonLin Letter page 1.pmd - Small Cap Stock Advice | Small Cap
The KonLin Letter page 1.pmd - Small Cap Stock Advice | Small Cap

... Meanwhile, CONSUMER CONFIDENCE plunged as American views of the ECONOMY dove to the lowest level since the RECESSION. ECONOMIC DATA was mixed, but for the most part came in below expectations. The ISM SERVICES SECTOR INDEX showed weaker GROWTH in June as the pace of NEW ORDERS eased. EXISTING HOME S ...
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Economic Theories- Vocabulary List

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business cycle

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PPT 3.2

... Prosperity Prosperity results from low ...
What Is a Recession by CNBC Explains
What Is a Recession by CNBC Explains

... business profits. This is usually the result of an economic shock, such as a 'bubble' bursting. An economic bubble happens when products, such as stocks or homes, become worth more than their actual value. When the bubble bursts, the prices of these products fall. This is usually coupled with less b ...
List of U.S. Recessions
List of U.S. Recessions

... 31. ^ Grynbaum, Michael M.; David Jolly (2008-12-01). [http://www.nytimes.com/2008/12/02/business/02markets.html "It’s Official: Recession Started One Year Ago By MICHAEL M. GRYNBAUM and DAVID JOLLY Published: December 1, 2008"]. The New York Times. http://www.nytimes.com/2008/12/02/business/02marke ...
Chapter 6
Chapter 6

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NFPA Presentation

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Market Forecast: It`s more important than ever to be in good

... After the worst year for equities since the Great Depression, the key investment question for 2009 is whether risk assets will outperform safe assets. This year will see a tug of war between apparently cheap asset pricing and rapidly deteriorating fundamentals. What happens in markets depends on wha ...
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PDF Download

... s this the beginning of the end or the end of the beginning of this bout of economic weakness in the United States? There are some signs that the worst of the slump is over. The factory sector appears to be contracting more slowly; factory inventories are being brought under control. Moreover, consu ...
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What is the Role of Government in Classical Economics?

... (Protective Tariffs, Neo-Keynesian) 1. In the long run, competition can create better standards of living for market economies. 2. However, societies don’t live in the long run. The immediate, short run is critical for making a living, taking care of families, putting food on the table. In the short ...
Economics 203/Quiz 5
Economics 203/Quiz 5

... 15. How might the current large fiscal stimulus ultimately lead to higher money growth and inflation? a. if the economy grows at a very fast rate because of the stimulus b. if Congress is unwilling to pass future taxes high enough to cover the additional spending c. if foreign currency is attracted ...
The current recession may be forming a generation that wants more
The current recession may be forming a generation that wants more

... be even bigger if we added also the indirect effect through the personal endowments, which are also affected by a recession. Fourth, our estimation represents a lower bound of the effect of a recession on beliefs because our identification strategy relies only on regional shocks implicitly ignoring ...
The Ups Win
The Ups Win

... recession. Similarly, the Dow Jones Industrial Average had declined 34.9 percent.2 No two business cycles are exactly alike. Their length, severity, and cause can differ — as well as their effects on employment, production, and stock prices. What’s more, the duration and strength of any given contra ...
View Slide Show for Lesson 5-1
View Slide Show for Lesson 5-1

... This downturn started because of a bit to much optimism on the part of some high tech firms. Previously these companies had lost business because they did not have the inventory and production capacity to meet demand. Determined not to make the same mistake, they bulked up on capacity and inventory ...
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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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