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Effects of an adverse technological shock

Assignment Help Macroeconomics
Reference no: EM1383728

Part A

1. Describe three (3) ways we can use macroeconomic analysis, with one (1) original example for each way.

2. You are running a small yard maintenance business for the summer. What do you expect to happen to the number of yards you can maintain in a day as you add workers if you don't purchase more capital equipment (like mowers and leaf blowers)? Provide at least two (2) supporting facts to support your response.

Part B

1. Using the real business cycle theory, explain two (2) effects of an adverse technological shock on the labor market and on the output market.

2. Suppose you were interested in increasing technological progress in your country. Suggest two (2) ways to do this.

Reference no: EM1383728

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