ECN202 Practice Questions: 1930s
... theories of Keynes for the basis of policies designed to get the US out of the depression. While all of the following would be theoretically possible policies for getting the economy out of the Great Depression, which was the fiscal policy favored by Keynes in an environment where both businesses an ...
... theories of Keynes for the basis of policies designed to get the US out of the depression. While all of the following would be theoretically possible policies for getting the economy out of the Great Depression, which was the fiscal policy favored by Keynes in an environment where both businesses an ...
Macro_online_chapter_11_14e
... 1. good for the economy because the spending on repairs will expand net employment. 2. good for the economy because spending on the repairs will drive up the general level of prices. 3. bad for the economy because the damage from the storm will be subtracted from this year’s GDP. 4. bad for the econ ...
... 1. good for the economy because the spending on repairs will expand net employment. 2. good for the economy because spending on the repairs will drive up the general level of prices. 3. bad for the economy because the damage from the storm will be subtracted from this year’s GDP. 4. bad for the econ ...
Lecture 3 and 4 I.F
... manipulate (influence and control) the level of aggregate demand in the economy by increasing or decreasing tax levels and public spending. While monetary policy manipulates the money supply in order to reach its aims. This influence, in turn, controls inflation , which generally considered to be he ...
... manipulate (influence and control) the level of aggregate demand in the economy by increasing or decreasing tax levels and public spending. While monetary policy manipulates the money supply in order to reach its aims. This influence, in turn, controls inflation , which generally considered to be he ...
Parkin_Macro_9e_clicker_ch08
... Which of the following is an example of money functioning as a store of value? A. Comcast charging $99 for internet, phone and cable service. B. McDonalds charging 99 cents for a burger. C. Your saving your spare change in a jar in order to afford an end -of-term party. D. Amazon.com charging $9.95 ...
... Which of the following is an example of money functioning as a store of value? A. Comcast charging $99 for internet, phone and cable service. B. McDonalds charging 99 cents for a burger. C. Your saving your spare change in a jar in order to afford an end -of-term party. D. Amazon.com charging $9.95 ...
Chapter 13 (12 in 8 th edition) Balance of Payments Accounting
... The Current Account and Foreign Indebtedness • Current account (CA) balance: CA = EX – IM ...
... The Current Account and Foreign Indebtedness • Current account (CA) balance: CA = EX – IM ...
A rise in the price of oil imports has resulted in a decrease of short
... c. The people who decide what the money supply of the United States should be. d. The statisticians who determine what the dollar value of GDP is every year. 25. According to the circular flow diagram, what is an expense or cost to one person is always: a. income to someone else. b. wasted money. c. ...
... c. The people who decide what the money supply of the United States should be. d. The statisticians who determine what the dollar value of GDP is every year. 25. According to the circular flow diagram, what is an expense or cost to one person is always: a. income to someone else. b. wasted money. c. ...
Econ 130
... Creates uncertainty and di¢ culty in planning for future Lowers economic growth Strains social fabric: Con‡ict might result, because each group in the society may compete with other groups to make sure that its income keeps up with the rising level of prices. Other Goals of Monetary Policy – High em ...
... Creates uncertainty and di¢ culty in planning for future Lowers economic growth Strains social fabric: Con‡ict might result, because each group in the society may compete with other groups to make sure that its income keeps up with the rising level of prices. Other Goals of Monetary Policy – High em ...
ECON 111-01A Dr. John F. Olson Introduction to Economics Spring
... deficit (-netX). What are the likely macroeconomic consequences or effects of these policies? Can these economic goals all be achieved? The tax cuts (T) and increased government spending (G) are likely to increase the budget deficit (T-G becomes more negative). Thus, one of two things (or a combinat ...
... deficit (-netX). What are the likely macroeconomic consequences or effects of these policies? Can these economic goals all be achieved? The tax cuts (T) and increased government spending (G) are likely to increase the budget deficit (T-G becomes more negative). Thus, one of two things (or a combinat ...
Module History and Alternative Views of
... rate is kept below the NAIRU, inflation will start to rise. ...
... rate is kept below the NAIRU, inflation will start to rise. ...
Macro-Module 2- Introduction to Macroeconomics
... What is inflation, deflation, and why is price stability important? How are models and long-run economic growth important to a country’s well being? Explain what the unemployment rate is and how its measured? Describe aggregate output and how the business cycle is related to it. ...
... What is inflation, deflation, and why is price stability important? How are models and long-run economic growth important to a country’s well being? Explain what the unemployment rate is and how its measured? Describe aggregate output and how the business cycle is related to it. ...
Annual contribution policy
... amounts are due by each member to the Association as additional dues to the annual contributions as well as special dues determined from time to time by the Board of Directors. Late payment dues are equal to the interest calculated monthly, payable monthly and compounded monthly, from the due date o ...
... amounts are due by each member to the Association as additional dues to the annual contributions as well as special dues determined from time to time by the Board of Directors. Late payment dues are equal to the interest calculated monthly, payable monthly and compounded monthly, from the due date o ...
Imports
... Both are price indices but they have different market baskets. The CPI includes consumer goods whereas the GDP deflator contains all items that are produced domestically. ...
... Both are price indices but they have different market baskets. The CPI includes consumer goods whereas the GDP deflator contains all items that are produced domestically. ...
The Role of Governemnt, Fiscal Policy
... Smooth taxation over time is most efficient dynamic path. Government should tax activities which are inelastic. Extremely large tax rates may have such negative impacts on output that increasing taxes reduce revenue. This is more theoretical than real. ...
... Smooth taxation over time is most efficient dynamic path. Government should tax activities which are inelastic. Extremely large tax rates may have such negative impacts on output that increasing taxes reduce revenue. This is more theoretical than real. ...
The IS-MP-model and the difference between neoclassical and
... As will have been noted, the model extended by the labour market determines the equilibrium output, employment, the real rate of interest and the real wage rate simultaneously. There, however, is a second relationship between the the real wage rate and the real rate of interest,5 the factor price f ...
... As will have been noted, the model extended by the labour market determines the equilibrium output, employment, the real rate of interest and the real wage rate simultaneously. There, however, is a second relationship between the the real wage rate and the real rate of interest,5 the factor price f ...
Tutorial
... dollar is spent on final goods and services. D. In the equation of exchange, GDP is defined as PQ and the CPI is an index to measure the price level (P). ...
... dollar is spent on final goods and services. D. In the equation of exchange, GDP is defined as PQ and the CPI is an index to measure the price level (P). ...
unit description
... prohibited. For the purposes of this fair dealing exception, students should be aware that the rule allowing copying, for fair dealing purposes, of 10% of the work, or one chapter/article, applies to the original work from which the excerpt in this course material was taken, and not to the course ma ...
... prohibited. For the purposes of this fair dealing exception, students should be aware that the rule allowing copying, for fair dealing purposes, of 10% of the work, or one chapter/article, applies to the original work from which the excerpt in this course material was taken, and not to the course ma ...
CHAPTER 20 Optimum Currency Areas and the European Experience
... a. This restriction on a member nation’s ability to use fiscal policy to stabilize its economy is not a big deal because monetary policy can be used by each country for that purpose. b. This restriction on a member nation’s ability to use fiscal policy to stabilize its economy is potentially signifi ...
... a. This restriction on a member nation’s ability to use fiscal policy to stabilize its economy is not a big deal because monetary policy can be used by each country for that purpose. b. This restriction on a member nation’s ability to use fiscal policy to stabilize its economy is potentially signifi ...
Ch. 13: Macroeconomics Policy Fundamentals
... cash to pay for normal expenditures Precautionary demand for money – carry cash to cover unexpected expenditures Speculative demand for money – hold cash as an asset in investment portfolios since the value of cash does not decline during periods of falling asset prices. Page 254 ...
... cash to pay for normal expenditures Precautionary demand for money – carry cash to cover unexpected expenditures Speculative demand for money – hold cash as an asset in investment portfolios since the value of cash does not decline during periods of falling asset prices. Page 254 ...
Fiscal Policy Under Keynesian Models
... Ricardian Equivalence: Main Proposition • It does not matter whether public deficit is financed by raising tax rates or by borrowing from the private sector. • More Borrowing now means higher rates of tax in the future for repayment of debt. • With higher amount of public debt now private household ...
... Ricardian Equivalence: Main Proposition • It does not matter whether public deficit is financed by raising tax rates or by borrowing from the private sector. • More Borrowing now means higher rates of tax in the future for repayment of debt. • With higher amount of public debt now private household ...
Liquidity Trap - Portland State University
... through open market operations that affect the monetary base—for example, buying or selling government bonds. As long as banks are legally required to maintain a certain level of reserves either as vault cash or on deposit with the central bank, a one-unit change in the ...
... through open market operations that affect the monetary base—for example, buying or selling government bonds. As long as banks are legally required to maintain a certain level of reserves either as vault cash or on deposit with the central bank, a one-unit change in the ...
Solutions
... The foreign country is experiencing rapid growth in real GDP of 8% and targets a 2% inflation rate. The domestic country is experiencing no growth in real GDP or the price level. What does the central bank in the foreign country need to do to hit the inflation target and what will be the resulting n ...
... The foreign country is experiencing rapid growth in real GDP of 8% and targets a 2% inflation rate. The domestic country is experiencing no growth in real GDP or the price level. What does the central bank in the foreign country need to do to hit the inflation target and what will be the resulting n ...
WP24
... governments to pursue countercyclical macroeconomic policy and thereby protect societies from the instabilities of free markets. It would also create institutions at the world level, one (the IMF) to assist countries facing temporary balance of payments difficulties and pre-empt a protectionist resp ...
... governments to pursue countercyclical macroeconomic policy and thereby protect societies from the instabilities of free markets. It would also create institutions at the world level, one (the IMF) to assist countries facing temporary balance of payments difficulties and pre-empt a protectionist resp ...
Lecture 3a
... (concluded) – Mutual funds, other than MMMF, also have check-writing services, though the value of the MF shares vary with the value of the asset, stocks, bonds, commodities, etc. ...
... (concluded) – Mutual funds, other than MMMF, also have check-writing services, though the value of the MF shares vary with the value of the asset, stocks, bonds, commodities, etc. ...
