What happens to aggregate demand

Assignment Help Macroeconomics
Reference no: EM132138370 , Length: word count:1000

Introductory Macroeconomics Assignment -

Questions

1. Suppose that the election of a popular candidate suddenly increases people's confidence in the future. Use the model of aggregate demand and aggregate supply to analyse the effects on the economy.

2. Suppose a wave of negative animal spirits overruns the economy, and people become pessimistic about the future. What happens to aggregate demand? If the Central Bank (or Fed) wants to stabilise aggregate demand, how shout it alter the money supply? If it does this, what happens to the interest rate? why might the Central Bank (or Fed) choose not to respond in this way?

Preparation - The slides and textbook readings will give you the basic framework of the ideas, theories and concepts you will need to complete the assignment. These notes may not be sufficient on their own. You will need to make use of additional reading and extra references in preparing your assignment. When you are taking notes for your assignment, try and 'translate' what the author is saying into your own words. Don't just copy out huge chunks from other people's work, otherwise they will probably end up in your assignment with very little of the wording changed.

Please answer both questions in different sections. Maximum word count should be no more that 1000 (approximately 4 pages).

Reference no: EM132138370

Questions Cloud

More project teams and are accountable for task delivery : Staff in the IT organization are often assigned to one or more project teams and are accountable for task delivery.
Briefly describe the human or social services organization : Action research by its very nature is participatory and should allow all interested parties to participate in voicing their opinions, concerns, or ideas.
Critically analyse given statement using amazon : Critically analyse this statement using Amazon as your case study organisation. You should aim to show whether customer voice drives strategic marketing
About the work of the human resources professional : Prepare for an interview with a human resources professional about the work of the human resources professional.
What happens to aggregate demand : BUSN1008 Introductory Macroeconomics Assignment - Suppose a wave of negative animal spirits overruns the economy, What happens to aggregate demand
Weighed against the interests of company like maxxam : How is it to be weighed against the interests of company like maxxam? are redwoods more important than jobs?
Define key elements of building benefit plan : A health insurance covers the costs of a variety of services that promote sound physical and mental health. In this assignment, you will learn the key elements.
How MRP system is useful in capacity requirements planning : Explain how an MRP system is useful in capacity requirements planning
Define different generations of employees working together : It is not uncommon for today's workplace to have up to four different generations of employees working together. This situation has some good points.

Reviews

len2138370

10/11/2018 9:28:44 PM

Referencing - All sources, whether academic books, journal articles, newspaper articles, material from the internet etc., must be cited in the main text of your assignment itself. The assignment should contain at least three well defined and distinct sections: An introduction; A discussion (the body of the assignment); A conclusion. Please ensure that you are aware of the University’s Academic integrity policy.

len2138370

10/11/2018 9:28:37 PM

Marking Criteria - (25 pt) Relevance of your answer to the question; (10 pt) Clarity of expressions; (25 pt) Using correct figures, tables, and relevant mathematical expressions; (10 pt) Supporting documentation for arguments; (10 pt) Proper acknowledgement of documentation and the use of a bibliographic convention; (5 pt) Overall presentation, including correct grammar, spelling and punctuation; (5 pt) Comprehensive coverage reflecting mastery of readings and text; (10 pt) Logical planning and sequence.

len2138370

10/11/2018 9:28:30 PM

Please answer both questions in different sections. Maximum word count should be no more that 1000 (approximately 4 pages). Make sure you have understood what the assignment is getting at and that you know how to complete it. In particular, please be aware that no assignment will ask you just to write down everything you know about a subject area; instead, it will require you to consider specific issues. Try to stick to the introduction, discussion, conclusion format in your essay, that is, set the context of the essay and outline the structure of your argument, cover the relevant material, then tie the discussion up by summarising what has been said and offering YOUR opinion on what the question is asking about, based on the sources you have used.

len2138370

10/11/2018 9:28:24 PM

You should provide evidence for all the assertions that you make during your assignment; that is, make reference to ideas, theories and concepts, empirical research and/or experience of your own which support your claims. Remember to cite the sources of ALL the ideas and quotations that you have used in-text. Also, don’t forget to provide a full bibliography and don’t try and pad it out. Only list sources you have actually looked at. Refer to the referencing guidelines provided for this topic. Develop your points to make it clear what you are getting at and don’t leave arguments ‘hanging in mid-air’

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd