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Need the answer in 150 words.
What is currency overshooting? Using an example of a permanent decrease in money supply, explain with the help of graphs, how the money market and forex market respond to the change in the short run and in the long run.
President elect Trump is planning to invest in infrastructure. With the help of the IS-LM-FX framework, show the effect on interest rates, exchange rates and national income.
Retirement of baby boomers threatens the Social Security system because number of retirees will be relatively large compared to number of workers remaining by 2020
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In the lesson presented by Sal on Oligopolies and Monopolistic Competition he creates a two dimensional grid of the market types based on number of competitors and degree of product differentiation. Make sure you view this lesson.
In the country of Wiknam, the velocity of money is constant. Real GDP grows by 5 percent per year, the money stock grows by 14 percent per year, and the nominal interest rate is 11 percent. What is the real interest rate?
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