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Classical and Keynesian view of the economy Federal Reserve
1. Delineate the differences between Classical and Keynesian views of the economy. Describe the circumstances that led to the development and dissemination of the Keynesian economic theories. Evaluate each system from a modern perspective with special attention to the strengths and weaknesses inherent in each system to influence macroeconomic factors in the current economic environment. Bring the expansion of societal responsibilities and the globalization of markets into the discussion.
2. Describe the functions of money in our society. How does the money supply influence the macroeconomic goals of price stability, full employment, and economic growth? Describe the major tools the Federal Reserve System uses to influence the money supply.
3. What possibilities exist when government increases its level of spending? Describe the role and effectiveness of monetary and fiscal policy in the achievement of these goals. Include a discussion of the monetary base and the concept of the multiplier in your essay.
4. Describe the evolution and responsibilities of the Federal Reserve System. What circumstances promulgated both the development and composition of the system?
The following table shows the hours per week supplied to a particular market by three individuals at various wage rates. Calculate the total hours Per week (Q T ) supplied to the market.
The annual demand for coffee by the U.S consumers is Q = 250 - 10P. Compute the lost consumer surplus?
Describe the effect of such clauses on both the government, and other customers, noting, inter alia, the effect on the selling firmâ.
Indicate whether each of the following statements is true or false and explain why.
what are the implications for economic growth and development for these nations.
Rise in the price of TV sets in Japan also depreciation of the dollar lead to a total increase of 9 percent in the dollar price of imported.
You're the absolute czar and head of union of 1,000 plumbers in Austin, Texas. You've the absolute power to set the wage at which the plumbers will work. You wished to achieve full employment at highest possible wage; (b) you wished to maximize the..
Elucidate the difference among a monopoly and an oligopoly, the welfare effects of monopoly, cost advantages that create monopolies, government actions that create monopolies, and government actions that reduce market power.
This exercise is an illness which has caused three capable observable things to happen. What are they?
Discuss briefly what you think the way in which the HDI is constructed. (Briefly means no more than five lines of text. Excesses are severely penalised.)
Suppose that there are two goods in the economy, and the price of each good is equal to 1. When Alice has income of $10, She consumes 1 unit of good y and 9 units of good r.
Illustrate the point price, income, also cross elasticities at the present values. Interpret your answers, saying how much a 1% change in each variable impacts demand.
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