For example: the decision by a firm to buy or not a particular machine used in its production process is a microeconomic problem. The effect of a decrease in the interest rate on the saving decisions of Kenya households is…
Economics
Macroeconomics of the Automobile Industry Assignment
It is a market that is dominated by a few large sellers, where the leading firms control most of the market and the smaller firms usually follow the leads Of those larger firms. The firms involved are selling a similar…
Scavenger Hunt Assignment
ECO561 Week 6 Assignment Scavenger Hunt Instructions for questions 1 & 2: •Answer the following on GDP, by visiting www. bea. gov/interactive. htm •Under “National Economic Data”, click National income and product accounts •Click “Frequently Requested NIPA Tables” Questions: 1.…
Macroeconomics – Problem Set Assignment
This effect is a movement along the production function in the downward direction, as seen in Figure 4(b). Tracing the change over to the aggregate output market shown in Figure 4(c), the aggregate supply curve shifts to the left for…
Macroeconomics Problem Set Assignment
However, if the more expansionary policy persists, the long-run impact will be inflation and higher nominal interest rates, without any positive impact on real output and employment. The more rapid the sustained growth rate of the money supply (relative to…
Macroeconomics: Questions and Answers Assignment
As inflation rate increases sharply, the price level also increases sharply, causing the real value of money that the holders have to decrease. Why is wealth that IS held in savings account not subject to a change in the inflation…
Macroeconomics: Should the Minimum Wage Increase? Assignment
Over the years, the federal minimum wage has increased and has en beneficial up to the minimum wage increase in July 24, 2009 from $6. 55 to $7. 25. After the increase, the unemployment rate has soared and businesses fired…
Macroeconomics Summary Assignment
Long-Term Trend A handy way of comparing real GAP per person over time is to express it as a ratio Of some reference year. For example, in 1 960, real GAP per person was SSL 5,850 and in 201 0,…
Macroeconomics Summer Reading Assignment
When the price of a product falls, demand for it tends to increase, while when the price rises, it usually has a negative impact on emend. Contrarily, when the price rises, producers will work harder to obtain that product, while…
Macroeconomics The Study Of Economic Activity Assignment
It includes the study of: Economic growth – a steady rate of increase of national output Employment -a low level of unemployment Price stability – a low and stable rate of inflation External stability -a favorable balance of payments position…