Principles of Macroeconomics Homework 1 Please write down your answers as clearly as possible. 1. Below are some data from the land of milk and honey. Year 2008 2009 2010 Price of Milk $1 $1 $2 Quantity of Milk 100 quarts 200 200 Price of Honey $2 $2 $4 Quantity of Honey 50 quarts 100 100 a. Compute the nominal GDP‚ real GDP‚ and the GDP deflator for each year‚ using 2008 as the base year. Calculating nominal GDP: 2008: ($1 per qt. of milk 100 qts. milk) + ($2 per qt. of honey 50 qts.
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is not the correct combination for a U.S. president and an important economic issue of his administration? Answer Selected Answer: President Clinton‚ inflation Correct Answer: President Clinton‚ inflation . Question 3 . Macroeconomic models are used to explain how ______ variables influence ______ variables. Answer Selected Answer: exogenous; endogenous Correct Answer: exogenous; endogenous . Question 4 . The total income of everyone in the economy
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Assignment 2 The three major macroeconomic goals of an economy should be economic growth‚ low unemployment/full employment‚ and low inflation rates. Economic growth occurs when an economy ‘increases its ability to produce goods and services’ (AmosWeb‚ 2012). The growth or loss of the economy is measured by the production of goods made in a year compared to the production of goods made in the previous year. If there is a greater production of goods and services in the present year‚ then there has
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Bibliography: The Economist‚ 2008. A short history of modern finance: Link by Link. [online]. Oct 16th 2008‚ Available at: http://www.economist.com/displaystory.cfm?story_id=12415730 [Assessed 22 October 2008] The Economist‚ 2008 The Economist‚ 2008. Buttonwood: Heart of Glass. [online]. Jan 31st 2008‚ Available
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be demand-pull inflation or will it be cost-push inflation? If potential real GDP (that is‚ full-employment GDP) is $510 billion‚ what will be the size of the positive GDP gap after the change in aggregate demand? If government wants to use fiscal policy to counter the resulting inflation without changing tax rates‚ would it increase government spending or decrease it? Real Output Demanded (billions) | Price Level (Index Number) | Real Output Supplied (billions) | $506 | 108 | $513 | 508 |
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evaluate the effectiveness of demand and supply management policies to combat it This essay will compare and contrast alternative views on the nature and possible causes of unemployment. It will then go on to evaluate the effectiveness of demand and supply management policies that try and combat unemployment. I will be discussing unemployment in two parts- short run and long run and evaluating the effectiveness of demand and supply management policies that combat unemployment for each. First of all‚ ‘the
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EXECUTIVE SUMMARY The following paper will start by examining the macroeconomic state of Germany by citing real changes in fiscal and monetary policies‚ exchange rates and international trade. It will then analyze their influences and consequences on the economy and will finally conclude with a general comparison to the US economy and a future outlook for Germany itself. In the beginning of the millennium‚ Tax Reform 2000 was implemented‚ the largest tax relief act in Germany’s post-war history
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Conflict brings out the best and worst in people Self Preservation The primal urge for self preservation is often linked to an array of emotions and thoughts‚ each juxtaposed in the aspect of good and evil. The subjectivity of these often conservative and radical actions‚ as individuals’ enter an increasingly volatile era of insecurity and hardship. From the ambitious endeavor of Pyle we catch a glimpse into the many intricacies of the human psyche and how it is affected by the advance of
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lead to the poor losing confidence in the efficacy of their contribution to the democratic process.2 Another effect is that when elections become expensive‚ fund raising becomes the preoccupation of politicians thereby distracting them from public policy making and their role as trustees of public interest. The role of money in politics is a major concern‚ for any nation that adheres to democratic tenets. This raises concern because wealth creates unequal opportunity for participation.3 The source
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Module “Conflict Management” Facilitated by C-T. H. Bayer & B.T. Schernick Organized by FES YLDP Module on CONFLICT MANAGEMENT Table of Contents Training Approach .......................................................................................3 What is Conflict ?........................................................................................5 Five Basic Styles in Conflict Situations .................................................7 Different Behaviours in Conflict Handling
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