Explain the effect the policy had on the australian economy

Assignment Help Macroeconomics

Reference no: EM133823668

Economics

Section A Microeconomics

Question 1: The Australian government has a lour pillars policy for the banking sector in Australia. Basically, the policy means that the four largest banks in Australia (the "Big 4') are not allowed to merge with each other. Using your own independent research, briefly explain the reasons for this policy, and the advantages and disadvantages of this policy.

Question 2: Identify the market structure the Big 4 banks operate in. Justify your choice of market structure using the market characteristics used lo classify markets. Explain how the Big 4 banks compete, and the nature of their interdependency. Get Assistance Now!!

Question 3: Consider a "game" between Commonwealth Bank (CBA) and ANZ Bank (ANZ that the banks may participate in. The rules of the game are:
if both CBA and ANZ keep interest rates low. then they will both make a profit of $2.5b.

If both CBA and ANZ keep interest rates high, then they will both make a profit of S3. 51p.

If one bank keeps interest rates low and the other keeps interest rates high, then the low interest rate bank will make S4.0b profit and the high interest rate bank will make $2_0b profit.

Using these rules, solve this game for the Nash equilibrium (make sure to include your diagram and the logic you followed to solve the game). Is your outcome the best one for both CBA and ANZ? Explain your answer.

Section B: Macroeconomics

Question 1
The Chinese government have now removed their domestic zero covid policy. Using your own research briefly explain what this policy was, and the effect you think it had on the Chinese economy. At a minimum, your answer should include commentary about the effect on Chinese GDP, unemployment, inflation and other aspects of the Chinese macroeconorny. Support your comments with appropriate economic data. (Make sure you use reputable economic sources and reference your sources.)

Question 2
Outline a possible Fiscal policy program the Chinese government could undertake to recover from the effects of the zero covid policy. Draw a diagram of the Chinese macroeconomy using the aggregate demand and aggregate supply (AD/AS) model showing the effects) of the zero covid policy, and then after the (successful) implementation of your fiscal policy program. Clearly show on your diagram(s) the before and after cases.

Question 3
The zero covid policy has not just affected the Chinese economy, but economies all around the world.
Explain the effect the policy had on the Australian economy, as well as the impact its removal might have on the Australian economy. Support your answer with appropriate economic theory.

Reference no: EM133823668

Questions Cloud

What response should the nurse provide to best address : The client expresses concern about the lack of proposed treatment. What response should the nurse provide to best address the client's concern?

Which drug is health care provider most likely to prescribe : The client is also experiencing myocardial infarction. Which drug is the health care provider most likely to prescribe for the client?

For what adverse effect should the nurse assess : A client is admitted to the emergency department with severe heart failure. Milrinone is administered IV. For what adverse effect should the nurse assess?

Which should the nurse include in the discussion : The nurse is discussing possible adverse effects of quinidine with a client who has been prescribed the drug. Which should the nurse include in the discussion?

Explain the effect the policy had on the australian economy : Explain the effect the policy had on the Australian economy, as well as the impact its removal might have on the Australian economy. Support your answer

What laboratory test will the nurse inform client will used : The nurse is caring for client who is going home. What laboratory test will the nurse inform the client will be use to evaluate therapeutic effects of the drug?

Which substance will the nurse likely administer : The nurse is caring for 73-year-old client receiving warfarin. After reporting observation to health care provider which substance will nurse likely administer?

What instruction nurse provide client to maximize safety : A client diagnosed with a dysrhythmia has not responded. When the medication is discontinued, what instruction should nurse provide client to maximize safety?

What is recommend rate for continuous infusion of lidocaine : A client experiencing a ventricular arrhythmia has receive. What is the recommended rate for continuous infusion of lidocaine IV now prescribed for this client?

User Account

All Pages