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Question: From 2000.3 through 2002.2, real growth slowed down substantially in the US economy, which was in a recession during most of 2001. Over that two-year period, real growth averaged 1.0%. According to Okun's Law, the unemployment rate should have risen 1% per year, for a total of 2%. In fact, the unemployment rate rose from 3.9% to 5.9% during that period, exactly what would have been expected. In that sense it was a ‘‘normal'' recession. Yet repeated doses of fiscal and monetary stimulus failed to reduce the unemployment rate after the recovery got under way.
(A) What measures of monetary stimulus were used?
(B) What measures of fiscal stimulus were used?
(C) Why did the economy fail to respond very much to these measures?
(D) To what extent did institutional changes in the economy retard the recovery?
(E) What parallels can be drawn between this situation and the decade-long slowdown in the Japanese economy that started in 1992?
what is the difference between scarcity and rarity? do bill gates and donald trump face scarcity and if yes how so?
Residents of a town take turns driving a water truck to a fire hydrant in a nearby town. They fill the truck with water and then haul it to a storage tank. Last year truck fuel and maintenance cost $3180.
Compute the price elasticity of demand for subway rides. If the transit authority reduces the fare back to 50 cents, what impact would you expect on the ridership. Why
Merchant banking refers to:Banking services that are only available to retail merchants.Banking services that are only available to business but not the general public.
consider an c the production function is unspecified but we know that the theory of distribution todwpmpn holds.
Using Demand and Supply model of exchange rate determination briefly explain how AUD is determined in the forex market, and what factors influence its fluctuations.
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1. the widget industry in anytown is a monopoly controlled by widget corp. its demand curve for the local market is
tammie makes 150 a day as a bank clerk. she takes off two days of work without pay to fly to another city to attend the
What would the political philosophy of utilitarianism, liberalism, and libertarianism likely suggest should be done in this situation? Explain.
If hiring labor for the winter costs $100/unit and a unit of capital costs $400, what production method should be chosen?
1.how do you know that the firm represented in the graph above is a purely competitive firm?2.to maximize profits this
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