Discuss the concept of instruments and targets

Assignment Help Macroeconomics
Reference no: EM13154442

Macroeconomic Policy - inflation. unemployment and growth.

Question For a decade or more, macroeconomic policy in Australia seems to have been directed primarily at controlling inflation in the belief that success in achieving this target would be associated with macroeconomic stability and growth. Following the Global Financial Crisis the main emphasis of macroeconomic policy has been on trying to avoid a recession. Contrast these two phases of policy and explain how macroeconomic policy objectives, targets and instruments have differed.

In order to complete this task you should:

1. Outline the experience of the Australian economy over the last 10-15 years, making use of major macroeconomic aggregates - these may be presented in summary tables and/or graphs. Stress should be placed on the challenges facing policy makers at present and likely challenges in 2012 (700 words)

2. Discuss the concept of 'instruments and targets' in macroeconomic policy and assess how this concept might be applied to the current policy framework in Australia.

3. Show how the economic theory you have learnt can be used to explain current macroeconomic policy

Reference no: EM13154442

Questions Cloud

What would the four-firm concentration ratio be : what is the largest value that the Herfindahl index could possibly take for car dealers in your area? In that same situation, what would the four-firm concentration ratio be?
What is the concentration of cu2+ in the sample : An unknown Cu2+ sample gave an absorbance of 0.262 in an atomic absorption analysis. Then 1.00 ml of solution containing 100.0 ppm Cu2+ was mixed with 95.0 ml of the unknown, and mixture was diluted to 100.0 ml in a volumetric flask.
What is the final liquid level of water is dropped : The density of aluminum is 2.702 g/cm3. What is the final liquid level of water if 1.130 ounces (oz) of aluminum is dropped into a graduated cylinder containing
How long will this discount change the consumer surplus : How long will this discount change the consumer surplus and producer surplus? Will Big Top be more efficient by offering the discount to children?
Discuss the concept of instruments and targets : Discuss the concept of 'instruments and targets' in macroeconomic policy and assess how this concept might be applied to the current policy framework in Australia.
What average price change per year for entire year period : An economist has predicted that for the next 5 years the U.S. will have an 8% annual inflation rate, followed by 5 year at a 6% inflation rate. this is equivalent to what average price change per year for the entire 10-year period?
Calculate your percent yield : Suppose that you obtain 1.0 g of salicylic acid from the hydrolysis of 1.3 mL of methyl salicylate. Calculate your percent yield.
The ideal gas law to calculate the pressure of the vapor : the Ideal Gas Law to calculate the pressure of the vapor at 88 °C; at 66 °C. b) Will condensation occur at 88 °C; 66 °C? Explain. c) On the basis of your answers in a) and b), predict the pressure exerted by the water vapor in the flask at 88 °C; ..
Determine the output that would generate a total profit : determine the output that would generate a total profit of $60,000 and the total sales revenues at the output level; draw the cost-volume-profit chart.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Methods of encouraging growth

The World Bank is currently advising newly industrialized nations on how to increase growth and they have asked for your help.

  Figure the profit maximizing quantity for monopolist

Determine the profit-maximizing quantity for a monopolist. You can ask the firm's to draw the firm's revenue and cost curves

  Illustrate how is the magnitude of each affected

Illustrate how is the magnitude of each affected if, instead of a moderate inflation, hyperinflation occurs.

  Productivity increase and poverty decrease

Connor knows that the two 'P' represent the key to sustained economic development for low income countries. The two 'P' are labour productivity growth and poverty decrease.

  Calculating the marginal physical product of labour

Use the following data for a firm's output at various levels of employment to calculate: (a) its marginal physical product of labour (MPPL) schedule.

  Us airline industry- legacy carriers and low cost carriers

U.S. industry responded to the undeserved domestic leisure travel market that existed in the early 1900s with a second wave of low cost carriers (LLCs)

  Illustrate what effect on potential industry profitability

Illustrate what effect on the potential industry profitability would Porter's Five Forces framework suggest this new technology has.

  Find the maximum and average levels of inventory

A company yearly sells 7,890 units. The cost of placing an order is $100 and the carrying costs are $2 a unit. What is the EOQ, the duration of the EOQ,

  Statement related to labor and wage theory

Suppose a frost kills a large portion of an orange crop, with a resulting higher price of oranges. It has been said that such an increase in price benefits no one since it cannot elicit a supply response; the higher price, it is said, simply "line..

  Budget deficits and its effects on us businesses

What do you think about current and projected budget deficit [over 500 Billion this year and coming years] and do you support Bush's economic policy to cut tax and run the Federal government through lending?

  Glassware violated which of the subsiquent provision

Glassware violated which of the subsiquent provision(s) of the Clayton Act and Robinson-Patman Act.

  Illustrate why is strategic interdependence important

Illustrate why is strategic interdependence important for the market structure of oligopolies. What happens in the market for oranges if there is a hurricane that destroys the orange crop.

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!

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