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Economic indicators are economic statistics that tell us how well the economy is doing. The GDP, unemployment rate, and inflation rate are the most common macroeconomic indicators. The change in the GDP tells us whether the economy is in an expansion or recession. GDP is the total value of all final goods and services manufactured in within a nation in a given year.
[A] Do you think the GDP is a good indicator of economic well being?
[B] What other factors do you think contribute to a good standard of living?
Assume that the government increases purchases of goods and services through $20 billion. Using your graph obtained in, draw the new AE line and determine the new equilibrium GDP.
Illustrate what economic events or changes will "shift" demand and supply curves, and separately "move" demand or supply along their respective curves.
Elucidate your answers in terms of the market for lawyers fully explaining what changes will occur to demand, supply, quantity demanded, quantity supplied, and equilibrium price for lawyers
A nation has a low inflation rate than all growth. It has more rapid economic growth. The central bank does not intervene in the foreign exchange market.
Assume that the market demand for broccoli is given by Q=1000-5P and the market supply of broccoli is given by Q=4P-80 where Q is quantity per year measured in hundreds of bushels an P is price in dollars per hundred bushels.
Explain and discuss the mechanisms by which this has occurred, and contrast our experience with: a) the recent performance of many NICs (newly-industrializing-countries) in the last few decades
Dinkel Manufacturing Company accumulates the following information relative to jobs started and finished during the month of June 2008.
Compute the expected utility of each project and identify the preferred project according to this criterion.
Show how a UK exporter can avoid exchange risk by covering in either the spot market or the forward market. When will the exporter be indifferent between these two forms of cover.
Assume that demand for labor by firms is given through L=1000-100W and the supply of labor from workers is given by L=-400+100W, where L represents the number of workers and W is the wage in this labor market.
To maximize total income should the price be increased or decreased
Elucidate whether current economic conditions are more consistent with the Keynesian or classical economic theories.
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