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Topic: The AS/AD Model, and using this model to explain macro volatility. Readings: McT (2013) Chapters 24 and 26.1. Explain whether each event changes the quantity of real GDP supplied, short-run aggregate supply, long-run aggregate supply, or a combination of these.a. Car-makers in Australia switch to a new technology that raises productivity.b. Toyota and Honda build additional plants in Australia.2. Explain whether each event changes the quantity of real GDP demanded or aggregate demand.a. Car-makers in Australia switch to a new technology that raises productivity.b. Toyota and Honda build new plants in Australia.3. The following events have occurred at times in the history of Australia:• The world economy goes into an expansion.• Australian businesses expect future profits to rise.• The government increases its expenditure on goods and services in a time of war or increased international tension.a. Explain for each event whether it changes short-run aggregate supply, long-run aggregate supply, aggregate demand, or some combination of them.b. Explain the separate effects of each event on Australian real GDP and the price level, starting from a position of long-run equilibrium, and assuming ceteris paribus.c. Explain the combined effects of these events on Australian real GDP and the price level, starting from a position of long-run equilibrium and assuming ceteris paribus.4. After you have studied Reading Between the Lines on pp. 562-63 of the textbook, answer the following questions.a. What are the main features of the Australian economy in the second quarter of 2011? b. Did Australia have a recessionary gap or an inflationary gap in 2012? How do you know?
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Explain the dissimilarity between the human capital and signalling theories of education. Identify whether each of the following raises labor demand or lowers labor supply (includes slowing labor supply growth) in labor market X.
collect data on sales from any retail store of choosing for the last 10 months or 10 years. Predict the sale for the 11th month or 11th yr using a 3-month moving average and a 4-month moving average. Calculate the MAD for the 3-month or 3yr and 4m..
Choose a United States multinational company. In terms of currency denomination, discuss how the company values its revenues and costs.
after graduating from college you receive job offers from five different accounting firms. all job offers have a
Name the current members and current alternate members of the Federal Open Market Committee by name and institution they serve. Is the district to which Oklahoma belongs currently represented on the committee?
Could not Ethiopia become a world class producer and exporter of goods? How would Ethiopia compare with Japan? Japan is a country relatively POOR in natural resources, yet it is an economic world powerhouse. What are the differences between the two c..
if you were the owner of an automobile company and decided to market internationally what kind of competition would
List the main sources of the financial crisis in 2008, and describe them how they affect the financial market - Find an example of the principal and agent problem (Moral Hazard) and explain how that affects the failure of investment banks in 2008 ..
suppose you have two types of customers. type 1 customers typically purchases your firms product in bundles of 100
suppose an inflationary economy can be described by the following equations representing the goods and money markets
Consider options on Microsoft stock. Suppose that there are call options with a strike price of $10 and put options with a strike price of $10, both with the expiration date of January 16th. Compute the gross profit (i.e. disregarding option premium)..
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