Price Level
... Why the Aggregate-Supply Curve Slopes Upward in the Short Run • The Sticky-Wage Theory • Nominal wages are slow to adjust to changing economic conditions, or are “sticky” in the short run. • When nominal wages are based on the expected prices and do not respond immediately when the actual price lev ...
... Why the Aggregate-Supply Curve Slopes Upward in the Short Run • The Sticky-Wage Theory • Nominal wages are slow to adjust to changing economic conditions, or are “sticky” in the short run. • When nominal wages are based on the expected prices and do not respond immediately when the actual price lev ...
AP Macroeconomics AS/AD and Fiscal Policy Test
... e. consumption function to shift down. ____ 15. If the primary goal is to reduce inflation, which of the following fiscal policy actions would be appropriate during a rapidly increasing consumer price index? I. Reduce government expenditures for defense and space research. II. Increase transfer paym ...
... e. consumption function to shift down. ____ 15. If the primary goal is to reduce inflation, which of the following fiscal policy actions would be appropriate during a rapidly increasing consumer price index? I. Reduce government expenditures for defense and space research. II. Increase transfer paym ...
marking scheme - Careers Portal
... revenues earned by the supplier from competitive advertising. ...
... revenues earned by the supplier from competitive advertising. ...
PDF
... Nicaragua is a small, open economy with a population of 5.5 million in 2004, low levels of income (GDP per capita of US$850 in 2005), and high levels of poverty (48 percent of the population in 2003). 1 Since 1990 the country has undergone dramatic changes, including the end of a decade-long civil c ...
... Nicaragua is a small, open economy with a population of 5.5 million in 2004, low levels of income (GDP per capita of US$850 in 2005), and high levels of poverty (48 percent of the population in 2003). 1 Since 1990 the country has undergone dramatic changes, including the end of a decade-long civil c ...
Keynes`s relevance in the new millennium
... consensus and then to compare it with Keynes’s reasoning in the General Theory. There are essentially two ways in which differential inflation rates can be linked to the level of output. Although both produce the same end result (and might therefore be regarded as amounting to the same thing) they a ...
... consensus and then to compare it with Keynes’s reasoning in the General Theory. There are essentially two ways in which differential inflation rates can be linked to the level of output. Although both produce the same end result (and might therefore be regarded as amounting to the same thing) they a ...
Note on progress - Office for National Statistics
... A change in method was required for the industry component for Owner Occupied Imputed Rental (representing the rental value which owner occupiers are considered to “pay” themselves). At NUTS1 the regional values are calculated by using the regional GVA(I) system to assign proportions. The equivalent ...
... A change in method was required for the industry component for Owner Occupied Imputed Rental (representing the rental value which owner occupiers are considered to “pay” themselves). At NUTS1 the regional values are calculated by using the regional GVA(I) system to assign proportions. The equivalent ...
Ch15.aggregate demand - Emporia State University
... EXPLAINING SHORT-RUN ECONOMIC FLUCTUATIONS • If the quantity of money in the economy were to double, prices would double and so would incomes. Real variables would remain constant. • HOWEVER: These changes will not occur instantaneously. It takes time for prices and incomes to change, and in the mea ...
... EXPLAINING SHORT-RUN ECONOMIC FLUCTUATIONS • If the quantity of money in the economy were to double, prices would double and so would incomes. Real variables would remain constant. • HOWEVER: These changes will not occur instantaneously. It takes time for prices and incomes to change, and in the mea ...
No Slide Title
... 1) Consider an initial price level of p=1.0 as our reference point. This induces a demand for goods in our diagram of $6,000. 2) Next consider a higher price level of p=1.5. Due to a negative wealth effect, expenditures will be lower inducing a demand of $2,000. 3) Next consider a price level of p=. ...
... 1) Consider an initial price level of p=1.0 as our reference point. This induces a demand for goods in our diagram of $6,000. 2) Next consider a higher price level of p=1.5. Due to a negative wealth effect, expenditures will be lower inducing a demand of $2,000. 3) Next consider a price level of p=. ...
ECONOMICS 30233 Intermediate Macroeconomics Study Questions
... The exams are weighted such that a perfect score on all the questions from the list below earns you at least a low B. A’s are reserved for those who also answer the “hell” questions correctly. That said, data from previous classes show that there is a high correlation between doing well on the non-h ...
... The exams are weighted such that a perfect score on all the questions from the list below earns you at least a low B. A’s are reserved for those who also answer the “hell” questions correctly. That said, data from previous classes show that there is a high correlation between doing well on the non-h ...
LAND PRICES AND UNEMPLOYMENT
... A striking feature of business cycles is that land prices and unemployment comove (Figure 1). Never is this feature more true than in the recent recession, when the collapse in the housing market was followed by sharply rising unemployment. The comovements between land prices and unemployment, along ...
... A striking feature of business cycles is that land prices and unemployment comove (Figure 1). Never is this feature more true than in the recent recession, when the collapse in the housing market was followed by sharply rising unemployment. The comovements between land prices and unemployment, along ...
Aggregate Demand/Supply
... Yes. Data from the pre–World War II era are less reliable than more modern data, but there still seems to be a clear reduction in the size of economic fluctuations. It’s possible that the greater stability of the economy reflects good luck rather than policy. But on the face of it, the evidence sugg ...
... Yes. Data from the pre–World War II era are less reliable than more modern data, but there still seems to be a clear reduction in the size of economic fluctuations. It’s possible that the greater stability of the economy reflects good luck rather than policy. But on the face of it, the evidence sugg ...
PDF
... Andhra Pradesh state was chosen as study site because a complete data set for the districts in the state is readily available at the International Crop Research Institute for SemiArid Tropics (ICRISAT). District-level panel data from 1970 to 2008 were used to analyze the aggregate supply response fo ...
... Andhra Pradesh state was chosen as study site because a complete data set for the districts in the state is readily available at the International Crop Research Institute for SemiArid Tropics (ICRISAT). District-level panel data from 1970 to 2008 were used to analyze the aggregate supply response fo ...
File
... structure of govt. are due to foreign remittances. In consumption oriented society where propensity to consume is higher than propensity to save such higher income will induce people to spend lavishly on consumer goods. This will add to the demand pull inflation. ...
... structure of govt. are due to foreign remittances. In consumption oriented society where propensity to consume is higher than propensity to save such higher income will induce people to spend lavishly on consumer goods. This will add to the demand pull inflation. ...
NBER WORKING PAPER SERIES THE INEFFICIENCY OF MARGINAL-COST
... I am grateful to Alexander Ravis and Jonathan Feinstein for assistance and to Timothy Bresnahan, John Haltiwanger, Michael Magill, A. Mitchell Polinsky, William Rogerson, and Eytan Sheshinsky for helpful discussions. The research reported here is part of the NBER's research program in Economic Fluct ...
... I am grateful to Alexander Ravis and Jonathan Feinstein for assistance and to Timothy Bresnahan, John Haltiwanger, Michael Magill, A. Mitchell Polinsky, William Rogerson, and Eytan Sheshinsky for helpful discussions. The research reported here is part of the NBER's research program in Economic Fluct ...
demand S. 1
... –When the ________ goes up, quantity demanded goes down. –When the price goes down, ___________ demanded goes up. Foundations for the Law of Demand •Price is an _____________, which discourages consumers from buying. •The higher this obstacle, the less of a ___________ they will buy; the lower the o ...
... –When the ________ goes up, quantity demanded goes down. –When the price goes down, ___________ demanded goes up. Foundations for the Law of Demand •Price is an _____________, which discourages consumers from buying. •The higher this obstacle, the less of a ___________ they will buy; the lower the o ...
The Data of Macroeconomics
... • The growth rate of the ratio of two variables equals the difference of their growth rates. • The growth rate of the product of two variables equals the sum of their growth rates. • The growth rate of a variable raised to an exponent, is the growth rate of the variable times the exponent. ...
... • The growth rate of the ratio of two variables equals the difference of their growth rates. • The growth rate of the product of two variables equals the sum of their growth rates. • The growth rate of a variable raised to an exponent, is the growth rate of the variable times the exponent. ...
Chapter 7
... • Real GDP = (Nominal GDP/Price index) x 100 Price Index: is a measure of the price of a specified collection of goods and services called a “market basket” in a given year (e.g. current year) compared to the price of an identical collection of goods and services in a reference (base) year. ...
... • Real GDP = (Nominal GDP/Price index) x 100 Price Index: is a measure of the price of a specified collection of goods and services called a “market basket” in a given year (e.g. current year) compared to the price of an identical collection of goods and services in a reference (base) year. ...
Monetary Policy Report - January 2015
... a result, they are, on net, positive for global economic growth. However, the impact of lower oil prices is, of course, quite different for net oil exporters than for net oil-importing countries. For a large number of advanced economies, as well as China and other oilimporting emerging-market econom ...
... a result, they are, on net, positive for global economic growth. However, the impact of lower oil prices is, of course, quite different for net oil exporters than for net oil-importing countries. For a large number of advanced economies, as well as China and other oilimporting emerging-market econom ...
The Role of Money in Saudi Arabia: A Dynamic Analysis
... each other with causality runs from money to income. It is assumed that money supply is exogenous and can be controlled by the monetary authorities. This proposition has been the subject of a fierce debate with mixed results. For example, Turnovsky and Wohar (1984) failed to find any identifiable re ...
... each other with causality runs from money to income. It is assumed that money supply is exogenous and can be controlled by the monetary authorities. This proposition has been the subject of a fierce debate with mixed results. For example, Turnovsky and Wohar (1984) failed to find any identifiable re ...