Stylised Facts for New Zealand Business Cycles
... established for the period 1966q4 to 1990q1 by Kim, Buckle, and Hall (1994) (KBH)1, but a number of financial, fiscal, external sector, and labour market regularities had to remain unresolved in that study. Moreover, the conduct of fiscal, monetary and labour market policy in New Zealand and the beh ...
... established for the period 1966q4 to 1990q1 by Kim, Buckle, and Hall (1994) (KBH)1, but a number of financial, fiscal, external sector, and labour market regularities had to remain unresolved in that study. Moreover, the conduct of fiscal, monetary and labour market policy in New Zealand and the beh ...
UK Investment: High, Low, Rising, Falling?
... the much higher real prices that prevailed in 1995. The share of GDP that was actually spent on business investment last year was 12.3 per cent. This share is higher than the 11.5 per cent of GDP that was actually spent on business investment in 1997, but much lower than the 14.1 per cent of GDP tha ...
... the much higher real prices that prevailed in 1995. The share of GDP that was actually spent on business investment last year was 12.3 per cent. This share is higher than the 11.5 per cent of GDP that was actually spent on business investment in 1997, but much lower than the 14.1 per cent of GDP tha ...
NBER WORKING PAPER SERIES USING MONETARY CONTROL 10 DAMPEN THE
... and recent critiques based on the rational expectations view of macroeconomic behavior. The paper treats supply shocks and institutional rigidities as constraints faced by policymakers. These influence the optimal degree of monetary accommodation of Supply shocks and the choice among alternative pat ...
... and recent critiques based on the rational expectations view of macroeconomic behavior. The paper treats supply shocks and institutional rigidities as constraints faced by policymakers. These influence the optimal degree of monetary accommodation of Supply shocks and the choice among alternative pat ...
The Phillips Curve in the 1990s - Digital Commons @ IWU
... unexpectedly. In this case, as workers have misperceptions about the future price level, they negotiate a 10% increase in the wage level. In Figure 3(a), the aggregate demand has shifted from AD1 to AD3, but the short run aggregate supply curve has only shifted back by the expected 10% increase in t ...
... unexpectedly. In this case, as workers have misperceptions about the future price level, they negotiate a 10% increase in the wage level. In Figure 3(a), the aggregate demand has shifted from AD1 to AD3, but the short run aggregate supply curve has only shifted back by the expected 10% increase in t ...
Wal-Mart, American consumer citizenship, and the 2008 recession
... Ford’s bargain (Collins 2010, Featherstone ...
... Ford’s bargain (Collins 2010, Featherstone ...
“The text was adapted by The Saylor Foundation under the CC BY
... components of aggregate demand). When the price level falls, the real value of wealth increases — it packs more purchasing power. For ex ample, if the price level falls by 25%, then $10,000 of wealth could purchase more goods and services than it would have if the price level had not fallen. An inc ...
... components of aggregate demand). When the price level falls, the real value of wealth increases — it packs more purchasing power. For ex ample, if the price level falls by 25%, then $10,000 of wealth could purchase more goods and services than it would have if the price level had not fallen. An inc ...
del11 Carlin 16783019 en
... countries since 2010 has been given to the need to reform fiscal policy in the Eurozone. The SGP has been judged inadequate as a fiscal policy framework for member countries. This paper is a contribution to that debate. However, its focus is both narrower and broader. It is narrower in its treatment ...
... countries since 2010 has been given to the need to reform fiscal policy in the Eurozone. The SGP has been judged inadequate as a fiscal policy framework for member countries. This paper is a contribution to that debate. However, its focus is both narrower and broader. It is narrower in its treatment ...
Document
... of nominal and real variables Hume and the classical economists suggested that monetary developments affect nominal variables but not real variables. If central bank doubles the money supply, Hume & classical thinkers contend all nominal variables—including prices— will double. all real vari ...
... of nominal and real variables Hume and the classical economists suggested that monetary developments affect nominal variables but not real variables. If central bank doubles the money supply, Hume & classical thinkers contend all nominal variables—including prices— will double. all real vari ...
Labor market regimes and the effects of monetary policy
... neutrality. In particular, restrictive monetary policy rules that are internalized by wage and/ or price setters can lead to favorable equilibrium outcomes for output and unemployment as well as inflation. Data reported in Soskice and Iversen (2000) and more extended empirical analyses by Hall (1994) ...
... neutrality. In particular, restrictive monetary policy rules that are internalized by wage and/ or price setters can lead to favorable equilibrium outcomes for output and unemployment as well as inflation. Data reported in Soskice and Iversen (2000) and more extended empirical analyses by Hall (1994) ...
Chapter 10
... (the AE curve is below the 45° line), an unplanned increase in inventories induces firms to fire workers and decrease production, so real GDP decreases. 3. If aggregate planned expenditure equals real GDP (the AE curve intersects the 45° line), no unplanned changes in inventories occur, so firms mai ...
... (the AE curve is below the 45° line), an unplanned increase in inventories induces firms to fire workers and decrease production, so real GDP decreases. 3. If aggregate planned expenditure equals real GDP (the AE curve intersects the 45° line), no unplanned changes in inventories occur, so firms mai ...
Y - McGraw Hill Higher Education
... Inflation will remain have inertia if the economy is operating at Y* ...
... Inflation will remain have inertia if the economy is operating at Y* ...
8 - Weber State University
... A) increased by 2%. B) decreased by 18%. C) decreased by 2%. D) increased by 18%. 25) Which of the following does NOT affect nominal GDP? A) tax rate B) foreign exchange rate C) nominal money supply D) expected inflation rate 26) If nominal GDP growth has accelerated permanently (assuming Y(N), is c ...
... A) increased by 2%. B) decreased by 18%. C) decreased by 2%. D) increased by 18%. 25) Which of the following does NOT affect nominal GDP? A) tax rate B) foreign exchange rate C) nominal money supply D) expected inflation rate 26) If nominal GDP growth has accelerated permanently (assuming Y(N), is c ...
Wages, Prices, and Employment: Von Mises and the
... prescribing ways in which the classical labor market equilibrium could be attained without relying on the money wage rate adjustment mechanism. It is the neo-Keynesians, such as Temin, who dismiss the concept of labor market equilibrium out of hand. The neo-Keynesian or "progressive" view achieved r ...
... prescribing ways in which the classical labor market equilibrium could be attained without relying on the money wage rate adjustment mechanism. It is the neo-Keynesians, such as Temin, who dismiss the concept of labor market equilibrium out of hand. The neo-Keynesian or "progressive" view achieved r ...
The Small Open-Economy New Keynesian Phillips Curve: Empirical
... imported goods (i.e., those produced in the rest of the world), around a symmetric steady state satisfying the purchasing power parity condition, PH,t = PF,t under assumed full ...
... imported goods (i.e., those produced in the rest of the world), around a symmetric steady state satisfying the purchasing power parity condition, PH,t = PF,t under assumed full ...
STAVROPOL STATE MEDICAL ACADEMY Home History, Politology
... particular way of thinking. A good way to introduce economics is to review three of its most fundamental concepts - opportunity cost, marginalism, and efficient markets. If your study of economics is successful, you will find yourself using these concepts every day in making decisions, both on econo ...
... particular way of thinking. A good way to introduce economics is to review three of its most fundamental concepts - opportunity cost, marginalism, and efficient markets. If your study of economics is successful, you will find yourself using these concepts every day in making decisions, both on econo ...
NBER WORKING PAPER SERIES AND THE REAL EXCHANGE RATE
... problem is the possibility of correlated residuals across countries. To gauge the importance of this problem, we also computed impulse response functions from a feasible GLS estimation designed to correct for contemporaneous cross-country correlations in the error terms. The resulting impulse respo ...
... problem is the possibility of correlated residuals across countries. To gauge the importance of this problem, we also computed impulse response functions from a feasible GLS estimation designed to correct for contemporaneous cross-country correlations in the error terms. The resulting impulse respo ...
AP Macroeconomics Crash Course
... LIMIT OF LIABILITY/DISCLAIMER OF WARRANTY: Publication of this work is for the purpose of test preparation and related use and subjects as set forth herein. While every effort has been made to achieve a work of high quality, neither Research & Education Association, Inc., nor the authors and other c ...
... LIMIT OF LIABILITY/DISCLAIMER OF WARRANTY: Publication of this work is for the purpose of test preparation and related use and subjects as set forth herein. While every effort has been made to achieve a work of high quality, neither Research & Education Association, Inc., nor the authors and other c ...
7CHAPTER Macroeconomic Measurements, Part II: GDP and Real
... Real GDP is used to compare output in one country with that in another. Two special problems arise in making these comparisons. Real GDP of one country must be converted into the same currency units as the real GDP of the other country, so an exchange rate must be used. The same prices should be use ...
... Real GDP is used to compare output in one country with that in another. Two special problems arise in making these comparisons. Real GDP of one country must be converted into the same currency units as the real GDP of the other country, so an exchange rate must be used. The same prices should be use ...
How Do Firms Form Their Expectations?
... targeting in 1990 and has experienced relatively low and stable inflation since then. In contrast, no firms reported believing that prices had fallen during this time period, so errors about recent inflation were highly asymmetric. This asymmetry is absent in firm beliefs about GDP growth, unemploym ...
... targeting in 1990 and has experienced relatively low and stable inflation since then. In contrast, no firms reported believing that prices had fallen during this time period, so errors about recent inflation were highly asymmetric. This asymmetry is absent in firm beliefs about GDP growth, unemploym ...
problems and solutions revized
... 2.8a. A hurricane in Florida forces Disney World to shut down for a month. 2.8b. The discovery of a new, easy-to-grow strain of wheat increases farm harvests.. 2.8c. Increased hostility between unions and management sparks a rash of strikes. 2.8d. Firms throughout the economy experience falling dema ...
... 2.8a. A hurricane in Florida forces Disney World to shut down for a month. 2.8b. The discovery of a new, easy-to-grow strain of wheat increases farm harvests.. 2.8c. Increased hostility between unions and management sparks a rash of strikes. 2.8d. Firms throughout the economy experience falling dema ...
Exercise 6 (+additional question) in Mankiw
... 2.8a. A hurricane in Florida forces Disney World to shut down for a month. 2.8b. The discovery of a new, easy-to-grow strain of wheat increases farm harvests.. 2.8c. Increased hostility between unions and management sparks a rash of strikes. 2.8d. Firms throughout the economy experience falling dema ...
... 2.8a. A hurricane in Florida forces Disney World to shut down for a month. 2.8b. The discovery of a new, easy-to-grow strain of wheat increases farm harvests.. 2.8c. Increased hostility between unions and management sparks a rash of strikes. 2.8d. Firms throughout the economy experience falling dema ...
Market Failure
... 6.1 Price Elasticity of Demand 152 Is the Demand Curve Elastic or Inelastic? 152 Types of Demand Curves 152 Calculating the Price Elasticity of Demand: The Midpoint Method 154 The Determinants of the Price Elasticity of Demand 155 6.2 Total Revenue and the Price Elasticity of Demand 158 How Does the ...
... 6.1 Price Elasticity of Demand 152 Is the Demand Curve Elastic or Inelastic? 152 Types of Demand Curves 152 Calculating the Price Elasticity of Demand: The Midpoint Method 154 The Determinants of the Price Elasticity of Demand 155 6.2 Total Revenue and the Price Elasticity of Demand 158 How Does the ...
... By the mid-1950s, it was clear that knowledge of demand and supply conditions was sufficient to calculate welfare losses due to distorted prices -- but also that certain adjustments might be necessary in applying ordinary demand functions for this purpose. At this time, however, two important develo ...
Terms-of-Trade Changes, Real GDP, and Real Value Added in the
... domestic charges before they reach final demand, so that a significant proportion of their final price tag is generally accounted for by domestic value added. Nevertheless, the perverse effect of a change in the terms of trade on real GDP can also be illustrated with the conventional model of intern ...
... domestic charges before they reach final demand, so that a significant proportion of their final price tag is generally accounted for by domestic value added. Nevertheless, the perverse effect of a change in the terms of trade on real GDP can also be illustrated with the conventional model of intern ...
aggregate demand curve
... shocks that raised prices and lowered output, including spikes in oil prices. • Increases in oil prices shift the aggregate supply curve. However, they also have an adverse effect on aggregate demand. • Because the United States is a net importer of foreign oil, an increase in oil prices is just lik ...
... shocks that raised prices and lowered output, including spikes in oil prices. • Increases in oil prices shift the aggregate supply curve. However, they also have an adverse effect on aggregate demand. • Because the United States is a net importer of foreign oil, an increase in oil prices is just lik ...