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We know that real GDP will increase, but we can't be sure whether the price level will rise or fall because that depends on wether the aggregate supply shifts out farther than aggregate demand.
Will each of the following cause a shift of the long run aggregate supply curve or a movement along the LRAS curve.
Describe factors shifting the aggregate demand curve. For each of the following events, state whether the aggregate demand curve would increase, decrease, or stay the same.
Evalute of natural gas prices from 1967 to 2006 in real and actual prices, compute of CPI, inflation rate & real prices. Creating the graph of real & actual prices of natural gas from 1967 t
All of the data required to compute the ATCF is given in the handout. You simply need to set up it up properly in Excel. This is a useful exercise before we begin our case study.
Explain detailed analysis and a comparative contrast of the corruption within India and China's economy.
Illustrate what is the velocity of money in this case. Suppose banks start paying interest on checking accounts, the aggregate demand function shifts.
Elucidate graphically the short-run and long-run impact of this decline on output and prices.
Suppose that G is back at its original level of 1,000, but Ms (the money supply) increases by 200. Explain by how much will Y increase in short-run equilibrium.
Explain how can the Fed keep the economy from falling into a recession if the budget deficit is reduced.
Explain how many "spells" of unemployment occur each year in this economy.
Make sure to provide explanation on whether the values of variables of interest change or remain unchanged.
Illustrate what should the central bank of Home do to keep the exchange rate fixed. What happens to domestic inflation rate.
Illustrate multiple choice macroeconomic questions related to marginal propensity, Keynesian theory, business cycle theory.
Illustrate economists believe which the economy is self regulating and will be at full employment as long as monetary policy is not errati.
Given the data of real disposable income also real consumption, draw consumption function, describe the slope, marginal propensity to consume, formula for consumption function.
Illustrate what is the marginal propensity to consume. Illustrate what is the slope of the consumption function.
Find out for the price and quantity that the monopolist would chose to maximize its profit under the more advanced technology. And also compute the resulting profit.
Compute of disposable salary given the data of National salary, transfer payments and taxes.
Compute of real and nominal wages, changes on real also nominal salary, comparison of wages at different years and decision making on employment options.
Compute of real and nominal salary, changes on real and nominal salary, comparison of wages at different years and decision making on employment options.
Explain during the year Pam sees prices rising, she will blame inflation for the decrease in her purchasing power.
Assume Pam has no preference for either job, other than the highest salary. Illustrate what is the percentage increase in nominal salary.
Find out the effect of the fed fund rates is lowered. If the Fed lowers the federal funds rate, then you would expect the dollar to become stronger.
why company produce in Germany rather than in a lower-wage country. what other information would you want before you decided where to establish a new production facility.