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this chapter argued that saving and spending behavior depended in part on wealth accumulated savings and inheritance
1 if households decide to save more saving in the aggregate may fall explain this in words2 suppose that in the year
policy makers talk about the capacity of the economy to grow what specifically is meant by the capacity of the economy
1 what do the cpi and the ppi measure why do we need both of these price indexes think about what purpose you would use
go to wwwblsgov and click on the links for state and area employment and unemployment look at your home state and
1 what is the unemployment rate in your state today what was it in 1970 1975 1982 and 2008 how has your state done
answer the followinga mps 4 what is the government spending multiplierb mpc 9 what is the government spending
1 what is the balanced-budget multiplier explain why the balanced-budget multiplier is equal to 12 evaluate the
in the republic of ragu the currency is the rag during 2009 the treasury of ragu sold bonds to finance the ragu budget
define saving and investment data for the simple economy of newt show that in 2011 saving exceeded investment and the
assume in a simple economy that the level of saving is -500 when aggregate output equals zero and that the marginal
suppose that the government of lumpland is enjoying a fat budget surplus with fixed government expenditures of g 150
you are appointed secretary of the treasury of a recently independent country called rugaria the currency of rugaria is
1 suppose fred deposits 8000 in cash into his checking account at the bank of bonzo the bank of bonzo has no excess
what if at a low level of interest rates the money demand curve became nearly horizontal as in the following graph that
normally people in the united states and from around the world think of highly rated corporate or government bonds as a
1 explain what will happen to holdings of bonds and money if there is an excess supply of money in the economy what
after suffering two years of staggering hyperinflation the african nation of zimbabwe officially abandoned its currency
you are given this account for a bankthe required reserve ratio is 10 percenta how much is the bank required to hold as
1 why is m2 sometimes a more stable measure of money than m1 explain in your own words using the definitions of m1 and
suppose in the republic of madison that the regulation of banking rested with the madison congress including the
during the third quarter of 1997 japanese gdp was falling at an annual rate of over 11 percent many blamed the big
1 why might investment not respond positively to low interest rates during a recession why might investment not respond
by late summer 2010 the target fed funds rate was between zero and 025 percent at the same time animal spirits were
in the first few chapters of this book we introduced the notion of supply and demand one of the first things we did was