1) Ceteris paribus, as real GDP growth ______, investment
... 2) Accelerator theory refers to the theory of: A) investment that emphasizes that current investment spending depends positively on the expected future growth of GDP. B) investment that emphasizes that current investment spending depends positively on the expected future growth of government spendin ...
... 2) Accelerator theory refers to the theory of: A) investment that emphasizes that current investment spending depends positively on the expected future growth of GDP. B) investment that emphasizes that current investment spending depends positively on the expected future growth of government spendin ...
Presentation to the members of Parliament at the Conference on... by the European Economics and Financial Centre
... price-to-rent ratio is about 40 percent higher than the normal level, while for Cleveland the ratio is very near its historical average. For the U.K., the ratio is more than double its long-run average, whereas in Japan it’s only about three-quarters of its normal level.1 Higher than normal ratios ...
... price-to-rent ratio is about 40 percent higher than the normal level, while for Cleveland the ratio is very near its historical average. For the U.K., the ratio is more than double its long-run average, whereas in Japan it’s only about three-quarters of its normal level.1 Higher than normal ratios ...
Summary: Ifo Economic Forecast 2015-2017: Modest Upswing Continues (PDF, 222 KB)
... threaten economic developments, and not only in the euro area. Easier access to cheap money can promote the formation of asset price bubbles, which leads to painful upheavals in financial markets both within and outside Europe when they burst. Moreover, the ECB’s government bond buying programme in ...
... threaten economic developments, and not only in the euro area. Easier access to cheap money can promote the formation of asset price bubbles, which leads to painful upheavals in financial markets both within and outside Europe when they burst. Moreover, the ECB’s government bond buying programme in ...
President’s Report Board Directors
... Data released since your last Directors' meeting suggest growth during the first quarter will be even slower than in the fourth quarter. The combined effects of the weak housing market, the soft labor market, cautious consumers, and slower business investment have brought the economy to very slow, a ...
... Data released since your last Directors' meeting suggest growth during the first quarter will be even slower than in the fourth quarter. The combined effects of the weak housing market, the soft labor market, cautious consumers, and slower business investment have brought the economy to very slow, a ...
Acting to Avoid a Great Stagnation
... Communicating that we anticipate low short-term rates likely to be warranted at least through mid2015; accommodative until recovery is sustainable Context of price stability; assessment of costs, efficacy ...
... Communicating that we anticipate low short-term rates likely to be warranted at least through mid2015; accommodative until recovery is sustainable Context of price stability; assessment of costs, efficacy ...
Inflation practice
... D. A retired teacher living on his pension A left shift of the aggregate supply line causes an increase in A. Deflation B. Employment C. GDP and employment D. Inflation and unemployment In a time of high inflation prices are rising quickly. In August, 1971, President Nixon attempted to reduce inflat ...
... D. A retired teacher living on his pension A left shift of the aggregate supply line causes an increase in A. Deflation B. Employment C. GDP and employment D. Inflation and unemployment In a time of high inflation prices are rising quickly. In August, 1971, President Nixon attempted to reduce inflat ...
Tell A Tale - The Fed Experience
... such as, “When I looked down, I had only one shoe on my foot.” 5. Call out a number. 6. The student with that number must come up with the next line to the story using a sentence that includes his/ her concept. 7. The teacher may either give the next line to the story or call another number un l all ...
... such as, “When I looked down, I had only one shoe on my foot.” 5. Call out a number. 6. The student with that number must come up with the next line to the story using a sentence that includes his/ her concept. 7. The teacher may either give the next line to the story or call another number un l all ...
Would a Gold Standard Brighten Economic Outcomes?
... able for that specific amount of gold.2 The government’s ability to increase the money supply is then restrained by its gold reserves.3 And since gold is naturally limited and the global gold supply grows relatively slowly, this system seemingly protects against high rates of inflation. However, a g ...
... able for that specific amount of gold.2 The government’s ability to increase the money supply is then restrained by its gold reserves.3 And since gold is naturally limited and the global gold supply grows relatively slowly, this system seemingly protects against high rates of inflation. However, a g ...
MSA-L4-Macroanalysis and Microvaluation of the
... leading indicators for 8 other major industrial countries: Canada, Germany, France, UK, Italy, Japan, Australia and Taiwan (+US) – Surveys of sentiment and expectations – eg, monthly surveys on consumer expectations. Others include firm’s capital spending or inventory investment plans Economic s ...
... leading indicators for 8 other major industrial countries: Canada, Germany, France, UK, Italy, Japan, Australia and Taiwan (+US) – Surveys of sentiment and expectations – eg, monthly surveys on consumer expectations. Others include firm’s capital spending or inventory investment plans Economic s ...
A Rise In The Price Of Oil Imports Has
... 1. Use an aggregate demand and aggregate supply diagram to show what will happen to output, prices, unemployment and wages in the U.S. economy if there is a large decrease in aggregate demand. On your diagram, mark the starting output as QN, the output at the end of the short run as Q2, and the outp ...
... 1. Use an aggregate demand and aggregate supply diagram to show what will happen to output, prices, unemployment and wages in the U.S. economy if there is a large decrease in aggregate demand. On your diagram, mark the starting output as QN, the output at the end of the short run as Q2, and the outp ...
Goal 1: Compare two types of inflation Type 1: Demand
... Type 1: Demand-Pull Inflation-An increase in prices that is the result of a total demand for goods and services that is greater than the supply. -demand-pull inflation usually occurs when the economy is in the expansion part of the business cycle -happens with growing production, growing investments ...
... Type 1: Demand-Pull Inflation-An increase in prices that is the result of a total demand for goods and services that is greater than the supply. -demand-pull inflation usually occurs when the economy is in the expansion part of the business cycle -happens with growing production, growing investments ...
Tide Turns Texas Toward Recovery
... 30 percent annual rate of return. industrial sector improved steadFor two decades, the rising ily. U.S. business investment was stock market created wealth up 0.9 percent in the first two that fueled consumer spending quarters, the first solid gain even after the bubble burst. since third quarter 20 ...
... 30 percent annual rate of return. industrial sector improved steadFor two decades, the rising ily. U.S. business investment was stock market created wealth up 0.9 percent in the first two that fueled consumer spending quarters, the first solid gain even after the bubble burst. since third quarter 20 ...
President’s Report Board Directors
... initial estimate of no change. The higher number reflected gains of 2.7% in output and 1.5% in total hours worked. The ISM index dropped below 50 in November for the first time in over three-and-a-half years. The employment index also declined, falling below 50 for the third time this year. Redbook ...
... initial estimate of no change. The higher number reflected gains of 2.7% in output and 1.5% in total hours worked. The ISM index dropped below 50 in November for the first time in over three-and-a-half years. The employment index also declined, falling below 50 for the third time this year. Redbook ...
ECN 101 – Intermediate Macroeconomics Spring 2004 Professor
... A) Identify what macroeconomic variable is represented by the solid line Unemployment Rate. B) Identify what macroeconomic variable is represented by the line with squares Inflation Rate C) Compare the business cycle behavior of these variables in the 70’s with their behavior up to the 60’s. Briefly ...
... A) Identify what macroeconomic variable is represented by the solid line Unemployment Rate. B) Identify what macroeconomic variable is represented by the line with squares Inflation Rate C) Compare the business cycle behavior of these variables in the 70’s with their behavior up to the 60’s. Briefly ...
Quarterly Economic Forecast - Global
... appropriate for other purposes. The views and opinions expressed may change at any time based on market or other conditions and may not come to pass. This material is not intended to be relied upon as investment advice or recommendations, does not constitute a solicitation to buy or sell securities ...
... appropriate for other purposes. The views and opinions expressed may change at any time based on market or other conditions and may not come to pass. This material is not intended to be relied upon as investment advice or recommendations, does not constitute a solicitation to buy or sell securities ...
Keynesian Economics
... Therefore since wages will not be cut to employ all workers- wages will remain the same for some while others will remain unemployed Thus the “classical” view of full employment no longer holds true- economy is not self-regulating ...
... Therefore since wages will not be cut to employ all workers- wages will remain the same for some while others will remain unemployed Thus the “classical” view of full employment no longer holds true- economy is not self-regulating ...
President’s Report Board Directors
... existing home sales held mostly steady. Housing starts and building permits both continued to fall, much as they have throughout the year. In the business sector, industrial production posted a small loss in August, as did capacity utilization. In September, the ISM diffusion index eased and its emp ...
... existing home sales held mostly steady. Housing starts and building permits both continued to fall, much as they have throughout the year. In the business sector, industrial production posted a small loss in August, as did capacity utilization. In September, the ISM diffusion index eased and its emp ...
Asset Prices and Monetary Policy
... arguments. Even if the mop up strategy might work initially, by exactly doing “its job” in a financial crisis of limited dimension, the strategy’s asymmetric character may lay the ground for the next bubble and crisis.1 The asymmetry in this monetary policy proposal is strengthened by the practice o ...
... arguments. Even if the mop up strategy might work initially, by exactly doing “its job” in a financial crisis of limited dimension, the strategy’s asymmetric character may lay the ground for the next bubble and crisis.1 The asymmetry in this monetary policy proposal is strengthened by the practice o ...
Chapter Objectives
... basic economic choices are made in each of these systems. To explain how market economies are structured and how they operate. To explain why, where, and how government intervenes in mixed economies, chiefly the U.S. economy. To distinguish between capitalism and socialism, and to describe how these ...
... basic economic choices are made in each of these systems. To explain how market economies are structured and how they operate. To explain why, where, and how government intervenes in mixed economies, chiefly the U.S. economy. To distinguish between capitalism and socialism, and to describe how these ...
Chapter 1: Introduction
... be extremely unwise and costly if interest rates are likely to fall. The prudent allocation of your savings to different investment vehicles depends on the current state of the macroeconomy. And your bargaining power vis-à-vis your employer-or if you are on the other side of the table your bargainin ...
... be extremely unwise and costly if interest rates are likely to fall. The prudent allocation of your savings to different investment vehicles depends on the current state of the macroeconomy. And your bargaining power vis-à-vis your employer-or if you are on the other side of the table your bargainin ...
Outline Notes
... What really happens? Throw away the theory and look at the reality. In the 1990s labor productivity increased by more than it had in decades. This increase should have increased corporate profits, and raised stock prices. But instead of corporate profits rising significantly, the beneficiaries of th ...
... What really happens? Throw away the theory and look at the reality. In the 1990s labor productivity increased by more than it had in decades. This increase should have increased corporate profits, and raised stock prices. But instead of corporate profits rising significantly, the beneficiaries of th ...
Remarks by Alicia Bárcena, Executive Secretary of ECLAC
... Alicia Bárcena, Executive Secretary of the Economic Commission for Latin America and the Caribbean (ECLAC) I would like to express my particular thanks to the Government of Argentina for organizing this interesting debate and for inviting the Economic Commission for Latin Ame ...
... Alicia Bárcena, Executive Secretary of the Economic Commission for Latin America and the Caribbean (ECLAC) I would like to express my particular thanks to the Government of Argentina for organizing this interesting debate and for inviting the Economic Commission for Latin Ame ...
Production and Growth
... • Economic prosperity, as measured by real GDP per person, varies substantially around the world. • The average income of the world’s richest countries is more than ten times that in the world’s poorest countries. • The standard of living in an economy depends on the economy’s ability to ...
... • Economic prosperity, as measured by real GDP per person, varies substantially around the world. • The average income of the world’s richest countries is more than ten times that in the world’s poorest countries. • The standard of living in an economy depends on the economy’s ability to ...
Long Depression
The Long Depression was a worldwide price recession, beginning in 1873 and running through the spring of 1879. It was the most severe in Europe and the United States, which had been experiencing strong economic growth fueled by the Second Industrial Revolution in the decade following the American Civil War. The episode was labeled the ""Great Depression"" at the time, and it held that designation until the Great Depression of the 1930s. Though a period of general deflation and a general contraction, it did not have the severe economic retrogression of the Great Depression.It was most notable in Western Europe and North America, at least in part because reliable data from the period are most readily available in those parts of the world. The United Kingdom is often considered to have been the hardest hit; during this period it lost some of its large industrial lead over the economies of Continental Europe. While it was occurring, the view was prominent that the economy of the United Kingdom had been in continuous depression from 1873 to as late as 1896 and some texts refer to the period as the Great Depression of 1873–96.In the United States, economists typically refer to the Long Depression as the Depression of 1873–79, kicked off by the Panic of 1873, and followed by the Panic of 1893, book-ending the entire period of the wider Long Depression. The National Bureau of Economic Research dates the contraction following the panic as lasting from October 1873 to March 1879. At 65 months, it is the longest-lasting contraction identified by the NBER, eclipsing the Great Depression's 43 months of contraction.In the US, from 1873–1879, 18,000 businesses went bankrupt, including 89 railroads. Ten states and hundreds of banks went bankrupt. Unemployment peaked in 1878, long after the panic ended. Different sources peg the peak unemployment rate anywhere from 8.25% to 14%.