Questions Chapter 11
... are held constant. Given that interpretation of multifactor productivity, an increase in it must result in an increase in output per hour worked since the number of hours worked is held constant. 12. The Solow growth model assumes that the same technology is available to both rich and poor countrie ...
... are held constant. Given that interpretation of multifactor productivity, an increase in it must result in an increase in output per hour worked since the number of hours worked is held constant. 12. The Solow growth model assumes that the same technology is available to both rich and poor countrie ...
Money Growth and Inflation
... The overall increase in the level of prices, as measured by the CPI or the GDP deflator, is called inflation. Although most economies experience at least some inflation most of the time, in the 1 ...
... The overall increase in the level of prices, as measured by the CPI or the GDP deflator, is called inflation. Although most economies experience at least some inflation most of the time, in the 1 ...
4. Aggregate Demand Policy Under Alternative Supply Assumptions
... very short run, when prices are fixed, the AS curve is horizontal. In the medium run, because prices are able to partially adjust, it slopes upward. In the long run, when prices are able to fully adjust and all markets are in equilibrium, it is vertical. The progression of time in the AS-AD model is ...
... very short run, when prices are fixed, the AS curve is horizontal. In the medium run, because prices are able to partially adjust, it slopes upward. In the long run, when prices are able to fully adjust and all markets are in equilibrium, it is vertical. The progression of time in the AS-AD model is ...
A Numerical Example
... To obtain a measure of the amount produced that is not affected by changes in prices, we use real GDP, which is the production of goods and services valued at ...
... To obtain a measure of the amount produced that is not affected by changes in prices, we use real GDP, which is the production of goods and services valued at ...
The Second End of Laissez-Faire
... The capitalism we inhabit has long been subject to two competing views. One is the view of the neoclassical school that puts its whole faith in the “invisible hand” of the price mechanism: The natural price … is … the central price, to which the prices of all commodities are continually gravitating. ...
... The capitalism we inhabit has long been subject to two competing views. One is the view of the neoclassical school that puts its whole faith in the “invisible hand” of the price mechanism: The natural price … is … the central price, to which the prices of all commodities are continually gravitating. ...
mmi12-Hristov 17805180 en
... variations in the stochastic discount factor and the resulting reactions of the average price-markup: The changes in the marginal utility of consumption just described imply an increase in the stochastic discount factor. Consequently future profits become more important which in turn strengthens eac ...
... variations in the stochastic discount factor and the resulting reactions of the average price-markup: The changes in the marginal utility of consumption just described imply an increase in the stochastic discount factor. Consequently future profits become more important which in turn strengthens eac ...
President’s Report Board Directors
... estimate this year. Much of that increase, however, can be explained by people returning to the labor force and actively seeking employment. The U.S. trade deficit widened to $40.4 billion in March, as exports rose 3.2% and imports increased 3.1%. The deficit in March was the biggest since December ...
... estimate this year. Much of that increase, however, can be explained by people returning to the labor force and actively seeking employment. The U.S. trade deficit widened to $40.4 billion in March, as exports rose 3.2% and imports increased 3.1%. The deficit in March was the biggest since December ...
Kiss Me Deadly: From Finnish Great Depression to Great Recession
... an industrialized economy after World War II. This “Finnish Great Depression” started at the beginning of 1990, after several years of rapid economic expansion and lasted for almost four years. The cumulated drop of real GDP from its peak in 4Q 1989 to trough in 1Q 1993 was 12.6 percent. The depress ...
... an industrialized economy after World War II. This “Finnish Great Depression” started at the beginning of 1990, after several years of rapid economic expansion and lasted for almost four years. The cumulated drop of real GDP from its peak in 4Q 1989 to trough in 1Q 1993 was 12.6 percent. The depress ...
Deriving constant price estimates of GDP: An illustration of chain-linking
... Cambridge: Cambridge University Press (figures from 1870-1955); (ii) National Statistics (figures from 1955) Note: Figures up to 1920 include Republic of Ireland. ...
... Cambridge: Cambridge University Press (figures from 1870-1955); (ii) National Statistics (figures from 1955) Note: Figures up to 1920 include Republic of Ireland. ...
BFH system
... would simply enforce contracts in which the parties themselves had specified what would constitute fulfillment. No longer would there be any such thing as money whose purchasing power depended on limitation of its quantity. No longer, then, could there be too much of it, causing price inflation, or ...
... would simply enforce contracts in which the parties themselves had specified what would constitute fulfillment. No longer would there be any such thing as money whose purchasing power depended on limitation of its quantity. No longer, then, could there be too much of it, causing price inflation, or ...
EC827_B2
... balances the Fed supplies, we must have some other reason for wanting more real balances than usual: transactions demand from high income. ...
... balances the Fed supplies, we must have some other reason for wanting more real balances than usual: transactions demand from high income. ...
Lecture 16
... The right mix of Monetary and Fiscal policies is needed to combat their recession or simply wait it out. The Recessions of the 1990's These were surely "real business cycles ", caused my mismanagement of aggregate supply. The Russians made fundamental mistakes with their economy. Once the Communist ...
... The right mix of Monetary and Fiscal policies is needed to combat their recession or simply wait it out. The Recessions of the 1990's These were surely "real business cycles ", caused my mismanagement of aggregate supply. The Russians made fundamental mistakes with their economy. Once the Communist ...
Macroeconomic Development Trends in Mongolia Evolution
... Commonwealth of Independent States (CIS) countries as well as in East Asia, with rates above 8 percent. Growth in developing countries declined only slightly from 7.0 percent in 2006 to 6.9 per cent in 2007 (UN 2008). The major drag on the world economy is coming from a slowdown in the USA, driven b ...
... Commonwealth of Independent States (CIS) countries as well as in East Asia, with rates above 8 percent. Growth in developing countries declined only slightly from 7.0 percent in 2006 to 6.9 per cent in 2007 (UN 2008). The major drag on the world economy is coming from a slowdown in the USA, driven b ...
The Global Financial Crisis: will successful African countries be
... recent successes. It does this by first painting the picture on how Africa might be affected using the channels mentioned and then by discussing each country in detail, as much as possible taking into account of what has already happened. It is clear that some countries are seriously at risk of bein ...
... recent successes. It does this by first painting the picture on how Africa might be affected using the channels mentioned and then by discussing each country in detail, as much as possible taking into account of what has already happened. It is clear that some countries are seriously at risk of bein ...
Cuba in Transition: Volume 8
... the nineteenth and early twentieth century governments did not act as developmental states (in fact some of the developing countries experiencing the export boom were colonies), one can explain why countries with unfavorable linkages due to the nature of their production processes failed to develop ...
... the nineteenth and early twentieth century governments did not act as developmental states (in fact some of the developing countries experiencing the export boom were colonies), one can explain why countries with unfavorable linkages due to the nature of their production processes failed to develop ...
Test #2
... As well, one should see that the macroeconomic processes are affected by many things outside of the FED’s control – which can make policy-making very difficult. And there is, of course, the problem of “politics” in a democratic society where priorities in goalsetting can be quite contentious. ...
... As well, one should see that the macroeconomic processes are affected by many things outside of the FED’s control – which can make policy-making very difficult. And there is, of course, the problem of “politics” in a democratic society where priorities in goalsetting can be quite contentious. ...
MACROECONOMIC PRINCIPLES (ECON
... including inflation, unemployment, and economic growth. Economic growth and fluctuations. What caused the current recession? What are monetary and fiscal policies? How do they work? The last 2 recessions occurred 7 / 90 (peak) 3 / 01 (trough) and 3 / 01 (peak) 12 / 01 (trough). The most recent econo ...
... including inflation, unemployment, and economic growth. Economic growth and fluctuations. What caused the current recession? What are monetary and fiscal policies? How do they work? The last 2 recessions occurred 7 / 90 (peak) 3 / 01 (trough) and 3 / 01 (peak) 12 / 01 (trough). The most recent econo ...
Productivity Growth, Convergence, and Welfare: What
... also extends to both "intermediate" and centrally planned economies. Only the poorer less developed countries show no such trend. It will also emerge that over the century, the U.S. productivity growth rate has been surprisingly steady, and despite frequently expressed fears, there is no sign recent ...
... also extends to both "intermediate" and centrally planned economies. Only the poorer less developed countries show no such trend. It will also emerge that over the century, the U.S. productivity growth rate has been surprisingly steady, and despite frequently expressed fears, there is no sign recent ...
Aggregate Supply and Aggregate Demand
... b) classical aggregate supply curve, and fiscal and monetary policy Classical curve is vertical and is based on the assumption that the economy always operates at the level of potential output, i.e. product at full employment. As a result of perfectly flexible nominal wages and prices, the labor mar ...
... b) classical aggregate supply curve, and fiscal and monetary policy Classical curve is vertical and is based on the assumption that the economy always operates at the level of potential output, i.e. product at full employment. As a result of perfectly flexible nominal wages and prices, the labor mar ...
This PDF is a selection from an out-of-print volume from... of Economic Research Volume Title: The International Transmission of Inflation
... Extending the model in this way also seems reasonable from an empirical standpoint since most demand-for-money studies have uncovered lags of several quarters or more in the adjustment process linking actual and desired money balances. To derive alternative testable hypotheses about the internationa ...
... Extending the model in this way also seems reasonable from an empirical standpoint since most demand-for-money studies have uncovered lags of several quarters or more in the adjustment process linking actual and desired money balances. To derive alternative testable hypotheses about the internationa ...
FRBSF E L
... lifetimes used earlier. The durations of expansions in the United States since World War II are shown in Figure 2. They are determined by the National Bureau of Economic Research (NBER), which dates the beginning and end of each expansion. According to the NBER, the last recession in the United Stat ...
... lifetimes used earlier. The durations of expansions in the United States since World War II are shown in Figure 2. They are determined by the National Bureau of Economic Research (NBER), which dates the beginning and end of each expansion. According to the NBER, the last recession in the United Stat ...
President’s Report Board Directors
... Data since your last Directors' meeting show that growth in the economy continued to slow in the first quarter but suggest a rebound in growth in the second quarter. Support from consumer spending remains resilient and the labor market showed further signs of strengthening, while gains in the housin ...
... Data since your last Directors' meeting show that growth in the economy continued to slow in the first quarter but suggest a rebound in growth in the second quarter. Support from consumer spending remains resilient and the labor market showed further signs of strengthening, while gains in the housin ...
Berlin paper, draft 1.02
... by the financial crisis: increased demand for safe assets, an increased wedge between borrowing and lending rates as financial institutions seek to restore their profitability.2 Given that there is a lower bound of zero, or possibly slightly above zero, on the market rate of interest, implies that ...
... by the financial crisis: increased demand for safe assets, an increased wedge between borrowing and lending rates as financial institutions seek to restore their profitability.2 Given that there is a lower bound of zero, or possibly slightly above zero, on the market rate of interest, implies that ...
PDF
... The NIG were as effective suppliers of industrial goods as the NIC but at a much greater scale. Industrial export-led growth allowed them to experience similar unprecedented economic growth for over two decades as the NIC. Both the NIC and NIG based their development on the rapid expansion of indust ...
... The NIG were as effective suppliers of industrial goods as the NIC but at a much greater scale. Industrial export-led growth allowed them to experience similar unprecedented economic growth for over two decades as the NIC. Both the NIC and NIG based their development on the rapid expansion of indust ...
Monetary Policy in a Changing Economic Environment
... the magnitude, and the nature of the shocks that hit the economy from time to time. As I tried to argue above, this is a highly demanding exercise because shocks do not come about with labels. They have to be identified first, in real time. But there are no shortcuts or excuses—no simple rules linki ...
... the magnitude, and the nature of the shocks that hit the economy from time to time. As I tried to argue above, this is a highly demanding exercise because shocks do not come about with labels. They have to be identified first, in real time. But there are no shortcuts or excuses—no simple rules linki ...
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%.