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Question 1
1.1 Explain the effectiveness of the exchange rate regime being used in terms of achieving macroeconomics objectively in South Africa.
1.2 Discuss any four macroeconomics objectives which can be used to judge the performance of the economy.
Question 2
Many analysts in both developed and developing worlds have heavily criticized the cases of monopolies.
Discuss using relevant examples whether it is a good policy for the governments to completely eliminate monopoly power.
Question 3
3.1 Inflation is now a key challenge in many developing countries in Africa.
Explain the concept of cost-push and demand-pull inflation with aid of diagrams. Use a country of your choice to exemplify the effects.
3.2 Evaluate the best policies you consider government should use to reduce inflammation in South Africa
Question 4
World Bank reports 2011 shows the lowest per capita income levels being in Africa.
Provide a detailed analysis of the policies that the government could use to increase the living standards of the people.
Calculation problems should be proven by showing the process you used or the formula you applied to solve the problem.
Using the 'standard' Taylor rule with Inflation PCE (not the core), and using end of 2011 data (2011-10-01) what is the federal funds rate implied by the 'standard' Taylor Rule?
Suppose perfect competition. Yoland is a small nation that takes world value of corn as given. Its domestic supply and demand for corn is given by the following;
What are the macro and micro problems? What systems are affected structural, psychosocial, technical, managerial, goals?
The production possibilities curve is an important model of how much an economy can produce given resources & technology.
Are marketing ethics critical to successful marketing. What do you think marketing ethics is central to building brand loyalty.
Find out the equilibrium market price. Find out the profits of the leader and the follower
Illustrate the maxmium so and so would pay for insurance.
Explain why did the Fed begin to raise interest rates at a point in the economic recovery with concerns over terrorism and rising energy prices causing great uncertainty.
In an article about the financial problems of USA Today, Newsweek, reported that the paper was losing about $20 million a year.
Suppose an economy characterized by the following equations; Assume W=10,000. Draw the aggerate expenditure function on a scale diagram along the 45 degree line.
For each of the following concepts provide a definition, a complete explanation as to their significance, and a practical example.
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