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Questions:
1) (a) Analyse both the conventional and unconventional tools used by central banks.
(b) In a 2012 study the International Monetary Fund (IMF) reported that the fiscal multiplier for the periphery of the Eurozone was roughly equal to 0.5. One year later, IMF recognised its mistake reporting that the fiscal multiplier was approximately equal to 1.7.
Discuss the above statement explaining what the fiscal multiplier is.
2) (a) Discuss the different types of unemployment.
(b) According to The Office for National Statistics UK, unemployment is reduced with optimistic prospects for 2014.
Which type of unemployment is responsible for this reduction in the unemployment rate? Explain your answer.
(c) Imagine yourself as Chief Economists of World Bank at their London headquarters. One morning you are informed that the OPEC countries made and agreement according to which they are going to reduce the produced quantity and to increase the price.
What impact such agreement would you expect to have on the UK economy? In your analysis use a diagram.
What are the factors that underlie a nation's decision to allow its currency to be determined by free market forces or to be fixed against some standard of value?
Consider some of the items you regularly purchase and how they have been affected by ICT. Which sectors/?rms have increased their value added share and which have lost out?
I. The tens market failure refers to a situation in which competition among firms becomes nithless. 2. Government output is hard to account for because most often government keeps secrets about what it produces. 3. The local government is the largest..
Presume your job pays $11.92 per hour. Your boss has been impressed with your productivity on the job and offers you a $0.7 per hour raise. What is the percentage change (or growth rate) of your wage?
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What responsibility does Nike have for conditions of work at foreign factories making its products. Could Nike have better anticipated and more effectively handled the sweatshop issue. What did it do right
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