Determinants of economic growth and development
Problem: What are institutional arrangements? Why are they considered important fundamental determinants of economic growth and development?
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How do efficiency techniques differ in the short- versus long-run when attempting to maximize profits? What specific incentives are used in your workplace to promote efficiency?
Question 1. How is inflation measured? Question 2. What are the causes of inflation? Question 3. Are natural disasters causes of inflation or deflation? Where might the public see the evidence?
What are some expected domestic economic consequences of the currency crisis for the countries involved? Focus on:
Q1. How have these policies affected the employment rates for the airline industry? Q2. How have these policies affected the growth of the airline industry?
What are institutional arrangements? Why are they considered important fundamental determinants of economic growth and development?
Do you support Bush's economic policy to further cut tax and run the Federal government through borrowing (budget deficit)? What are the effects of the current tax policy on US businesses in the short-run and in the long-run?
Which major reasons justify the importance of country risk analysis for the investment portfolios? Explain in detail.
Task: Prepare an analysis of the U.S. Fiscal Policy by addressing the following: 1) Characterize the state of the economy. What is the focus of the current fiscal policy? 2) What should the focus of the fiscal policy be?
Read the two articles below and do some of your own research on current macro-economic conditions and the business cycle. National economic data are available from the U.S. Department of Commerce, Bureau of Economic Analysis www.bea.gov
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