+1-415-670-9189
info@expertsmind.com
Macroeconomics fourth canadian edition
Course:- Macroeconomics
Reference No.:- EM13201




Assignment Help
Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Macroeconomics

1-      Explain how a policy mix (like the one used in 1990s) could help reduced to eliminate the budget deficit without having an adverse effect on the output.   Illustrate your answer using IS-LM graph.

2-      A 1- year Canadian bond with a face value of 5000 can be purchased at 4800.

a)      Calculate the nominal interest rate in Canada.

b)      If the Canadian dollar is expected to depreciate against the US dollar by 1 % over the next year, calculate the current nominal interest rate in the US.

c)      How much could an American bond with the same Face value as the Canadian bond sell in the market?

3-      Suppose the economy is currently in recession, and the exchange rate if fixed using the IS-LM model.

a)      explain and illustrate the economy adjustment ( in the medium run)

b)      Explain and illustrate the economy adjustment (in the medium run) without devaluation.

4-      Suppose the firm mark up over the cost is 10% and the wage setting equation is W=P (1-u) where U is the unemployment rate.

a)      Find out the real wage rate implied by the price setting equation.

b)      Determine the natural rate of unemployment.

c)      Plot the wage- setting and price setting equation or a property labelled graph and identity the nature rate of unemployment.

5- Carefully explain the neutrality of money on the medium run. Use an aggregate demand - Aggregate supply diagram to illustrate your answer. 

105_macroecoomics.png

b) Find the natural rate of unemployment (NAIRO)

c) What is likely to happen to the curve if wage indexation becomes more widespread?  illustrate your answer on the graph?




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Macroeconomics) Materials
Which curve shifts, and in which direction? What happens to aggregate output and the price level in each case? Is there an expansionary, contractionary, or no gap between th
The marginal cost is graphedbelow, what is special or interesting about this marginal costfunction? Verify the monopolist equilibrium is (Q=20,P=60). What isthe perfectly co
The U.S. Postal Service is a monopoly provider of first-class mail delivery (other companies such as UPS and FedEx can deliver packages, but not first-class mail). Do you th
What is the business cycle and how is it linked to a secular trend?  Describe each of the four phases of the business cycle and indicate how they a linked to the concepts of
Identify at least four key points of a relevant economic article from either or a newspaper. The article must deal with any course concepts covered in Weeks 1-8. Explain how
If my optimal choice for two goods (cookies and milk) is different from two different weeks (for example, week one is C:8,M:16 and week two is C:16,M:16) BUT INCOME IS THE S
Please provide information that has been certified as not similar to anything else on the internet or schools. I will not accept anything above 20% similarity according to m
(Part A) Evaluate the fundamental arguments between Keynesians and Monetarists concerning the level of government involvement in our economy to minimize the impact and stabi