User Account

All Pages

You are asked by the business editor of the yuk gazette

Assignment Help Macroeconomics
Reference no: EM13296713

Expert economists in the economy of Yuk estimate the following:

BILLION YUKS

Real output/income 1,000

Government purchases 200

Total net taxes 200

Investment spending (planned) 100

Assume that Yukkers consume 75 percent of their disposable

incomes and save 25 percent.

a. You are asked by the business editor of the Yuk Gazette to predict the events of the next few months. By using the data given, make a forecast. (Assume that investment is constant.)

b. If no changes were made, at what level of GDP (Y) would the economy of Yuk settle?

c. Some local conservatives blame Yuk’s problems on the size of the government sector. They suggest cutting government purchases by 25 billion Yuks.What effect would such cuts have on the economy? (Be specific.)

Reference no: EM13296713

Questions Cloud

Should you purchase shares in this firm : The market rate of return is 8% and the T-bill rate is 3%. Should you purchase shares in this firm at the current market price of $6.98 per share?
Compute the tension in the upper string : must include free body diagrams with applications of newton's 2nd law 1) a 3.0 kg ball is attached to two pieces of string, compute the tension in the upper string
Plot ground level concentration of sulfur dioxide as functn : Plot the ground level concentration of sulfur dioxide as a function of distance from the stack and determine the maximum ground level concentration at both with and without air pollution control and the distance from the stack where the maximum co..
What is the amount of each mortgage payment : What is the amount of each mortgage payment? b. If you want to pay off the loan at the end of year 5, how much will the balloon payment be?
You are asked by the business editor of the yuk gazette : You are asked by the business editor of the Yuk Gazette to predict the events of the next few months. By using the data given, make a forecast. (Assume that investment is constant.)
Explain the temperature remaining constant : A flexible vessel contains 41 L of gas where the pressure is 1.2 atm. What will the volume be when the pressure is 0.76 atm, the temperature remaining constant
Determine the speed of the bullet as it leaves the rifle : a 150g bullet is fired from a rifle with a barrel of length 65cm the bullet starts from rest at one end of the barrel, find the speed of the bullet as it leaves the rifle
Should you buy the annuity : You can earn a rate of 3.47% per year on you money. Should you buy the annuity, why?
Determine the net change in storage during the year : Determine the net change in storage during the year if local municipality is allowed to take 100 MGD from the reservoir. You may neglect infiltration and seepage from the reservoir. Sketch a mas blance of the reservoir.

Reviews

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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