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Question 1:
Discuss why living standards are higher in some countries than others.
Question 2:
(a) How is inflation measured?
(b) What are the causes and consequences of inflation for an economy?
Question 3:
(a) What might cause an appreciation of a floating exchange rate?
(b) Discuss whether an appreciation of a country's exchange rate will always be beneficial to that country.
Question 4:
Write short notes on the following: (a) Monetary Policy (b) Fiscal Policy (c) Balance of Payments (d) Money Demand (Keynesian approach) (e) Economic Growth
Explain how changes in the quality of healthcare will influence the demand for care.
Suppose that the desired capital stock is given as: K* = 0.3Y/i r Where Y = GDP, and i r is the real interest rate. Suppose further that Y = $5 trillion and that i r
Explain why we cannot measure the national product simply by adding up the production of all firms. Why do the economists use real GDP rather than nominal GDP to gauge economic
Explain the concept of elasticity and describe why the supply of petrol in the short run is relatively inelastic.
The fact that price and quantity demanded are related negatively illustrates the? a. law of supply b. law of quantity supply c. law of demand d. law of quantity demande
Explain the Gains from Trade of market. Producer Surplus, Consumer Surplus, Gains through Trade and Efficiency of Markets: Consumers and producers both are better off since
What is Money supply The monetary base is only a small part of the total money supply but, through the multiplier effect, the central bank's control over the money supply is ma
Unemployment classification Economists sometimes differentiate between different types of unemployment. There are many type of ways of classifying unemployment however the foll
For an interest rate of 12% per year compounded continuously, find (a) the nominal rate per year, (b) the nominal rate per quarter, (c) the effective rate per quarter, and (d) the
What are the pros and cons of outsourcing in order to keep prices down?
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