Suppose that the Federal Reserve acts to lower interest rates. How this will affect the U.S. economy? After the economic slowdown that started around the third quarter of 2000, the Fed lowered interest rates eleven times in the following year, 2001. What concerns would have about the effort by the Fed to smooth out this econo
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Suppose that inventory growth in the U.S. is unexpectedly high this year. What is likely to happen to output next year, and why? Is the economy currently in equilibrium? Use the Keynesian cross model to explain your answers.
This is part of a paper I'm doing on six different economic indicators, I just need help with the Real GDP part. 1.Compare and contrast the two different forecasts for REAL GDP (attached) 2. Include a reconciliation of the differences between the forecasts and a rationalization for which forecasts you believe are most ac
Suppose a country has been running a significant expansionary fiscal policy for many years. Monetary policy has not been particularly expansionary or contractionary. What can you expect to happen to this country's trade balance? What are the costs and benefits of this trade imbalance? If the country wished to correct for its tr
Study Guide for test, Classical and Keynesian view of the economy, Federal Reserve role in the economy.
1. Delineate the differences between Classical and Keynesian views of the economy. Describe the circumstances that led to the development and dissemination of the Keynesian economic theories. Evaluate each system from a modern perspective with special attention to the strengths and weaknesses inherent in each system to influe
One alternative to balancing the budget annually or cyclically is to produce a government budget that would be balanced if the economy were at potential output. Given the cyclical nature of government tax revenues and spending, how would the resulting budget deficit or surplus vary over the business cycle?
Ceteris Paribus means "other things the same" or "all other things being equal". In the Keynesian, Classical, and Solow model, what is the impact of an increase in production technology (i.e. an increase in the ability to produce output with the same amount of input) ceteris paribus?
Q.1. In most developing countries, there are long lines of taxis at airports, and these taxis often wait two or three hours. What does this tell you about the price in that market? Discuss using supply demand analysis. (200 to 300 words) Q.2. In the mid 1990s, Japan's annual money supply growth r
1) How does the trade deficit impact the U.S. economy? 2) How do changes in exchange rate affect a federal government organization? 3) Is a strong U.S. dollar always good for the U.S. and global economies? Why or why not?
Since fall of 2004, rising oil prices (over $70 per barrel in the Spring of 2006) have frequently ended stock market rallies and led to declines in all major stock indexes. Draw an AS/AD diagram which shows the effect on the US macroeconomy of oil at $70+/barrel versus oil at $40/barrel. Label your diagram clearly and expla
How does government policies affect the role of this factor in the economic growth process.(The four factors.)
Briefing on the question of whether capital generated in the industrialized countries is finding its way to the less-developed and emerging markets according to the Old World bank and OECD and others
1) Explain what a recession is. 2) Explain what an expansion is. 3) Explain what Disposable Income is. 4) Explain what an endogenous variable is. 5) Explain what an exogenous variable is. 6) Explain what an "autonomous" component is 7) Explain why I= S is an equilibrium in the goods market. 8) Explain the paradox of the T
Discuss why countries impose trade restrictions.
Consider an economy that produces only two goods, computers and television sets in 1995 and 1996. See attached table for questions: Please show all formulas and work for completing question. Practicin gfor chapter reviews this is a sample to learn how to do these .
Create a powerpoint presentation that demonstrates the SOLOW GROWTH MODEL as outlined in Mankiw's intermediate macroeconomics text. The slides build the model up one step at a time. I explain the steady state level of capital and how savings affects output and economic growth. This provides a brief introduction to the solow f
Good day; I need your assistance with the attached files for verification purposes. The instructions for the EXCEL file"Beta Hotel" is attached as a word file. There are 2 excel files and one word file. A pdf file is required as well, however, I could only upload three files. However, the link for the required pdf file (S
1. You have the following data for a developing country (in thousands of dollars). Calculate each sector's value added and the country's GDP. Name Total Intermediate Value GDP Output Inputs Added Agriculture $15,000 $ 7,000 $_____ Mining 9,000 4,000 ______ Textiles & Apparel 3,000
Does GDP accurately reflect our nation's productivity? Why or why not?
How can we use economic indicators to explain the affect of market forces on gross domestic product?
Q1) Major multinational organizations such as Acme (some of which are listed below) attempt to track the relative movements and magnitudes of global capital investment. Using these web pages and others you may find. European Bank for Reconstruction The Old World Bank OECD Prepare a 5-6 paragraph executive briefing o
Hello BrainMass OTAs, I need your help on three attached essay questions on basic healthcare economics. Use only the attached material to answer the questions. At the end of each question there is a associated chapter.
California Electric has a cost of equity capital of 16 percent. The firm has consistently been authorized a return on equity capital below this cost. Also, the effects of regulatory lag and attrition have further reduced the realized return to the 13-percent range. If the utility expects this problem to continue, what actions wo
(A). A potential entrepreneur is trying to decide whether to open a new health spa. She presently makes $35,000 per year as an aerobics instructor and will have to give up this job if she opens the new spa. If she chooses to open spa, it will cost her $200,000 per year in rent and other operating expenses. 1. What are her accou
1. One of the most variable componetns of consumer spending from year to to year is spending on durable goods, especially new automobiles. Why do you think this is so? 2. What do the statistics on (web address) indicate about the direction of the economy after 2000 for: a) Money GDP and Real GDP (http://www40.statcan.ca/l01/
Below here is some information I have in regards to a Decision Tree Analysis as well as a Time Series - You can see this below ... How can I find General Motors (GM) information to relate to these 2 sections? How can I expand on what I'm trying to explain below w/ GM information? II Decision tree analysis is attempted to
Multiple Choice: Growth trend analysis, demand, point price elasticity, new tax, net income, book value of the firm
Only one answer is correct. Thank you. 1.) Growth trend analysis assumes: a. constant period-by period unit increase in an important variable b. constant period-by period unit decrease in an important variable c. constant period-by period percentage increase in an important variable d. constant period-by period per
I'm working on my MBA and I need to have an idea of how should I start developing the work, please provide guidance. The media and others suggest that the current account deficit run by the U.S. is a problem for the economy. What do you think? What action(s) would you advise federal government officials to take on this issue
(See attached file for full problem description) --- Q1 Explain the value of using Elasticity of Demand to determine demand for a product. Which type of elasticity is more valuable to a seller of a product, elastic, unitary, or inelastic? Why? Q2 Explain why credit cards are not really money. Q3 Us
Assume an economy has the following production function: Y=F(K,L)=K0.4L0.6 a. State the per-worker production function. b. If the savings rate is 0.2 and the depreciation rate is 0.05, calculate the steady-state capital stock per worker, output per worker, and consumption per worker. c. Now suppose the government increa