Explain the effect to the economy

Assignment Help Macroeconomics
Reference no: EM131088669

Assume that the economy is at full employment. Draw diagram.

a) Explain the effect to the economy if there is a decrease in investment spending. Draw diagram.

b) Explain how countercyclical fiscal policy will adjust the economy back to full employment. Draw diagram.

Reference no: EM131088669

Questions Cloud

Principle that the government should own : What is an economic system based on the principle that the government should own and operate key enterprises that directly affect public welfare.
Why are the challenges in nonunion workplace : Discuss what you think are the most important challenges for both unions and management in a union workplace. Why are the challenges in a nonunion workplace? How have these challenges changed over the last 5 to 10 years?
Quantity demanded of a product : What is the price associated with the point at which the quantity demanded of a product equals the quantity supplied?
Market for the economy of san pedro : Assume the money market for the economy of San Pedro is in equilibrium. a) Using a diagram, graphically illustrate equilibrium in the money market.
Explain the effect to the economy : a) Explain the effect to the economy if there is a decrease in investment spending. Draw diagram. b) Explain how countercyclical fiscal policy will adjust the economy back to full employment. Draw diagram.
Analyze the supporting evidence used for the arguments : Analyze the supporting evidence used for the arguments. Analyze the assumptions made by Sahling and Post to uphold their arguments. Compare the conclusions and implications of the conclusions.
Sale at different market prices : What is the quantity of products that producers are willing to offer for sale at different market prices?
In designing health promotion efforts : In designing health promotion efforts, it is important to set clear goals and measure how successful you are compared to the money and time you invest. This is known as: a. Objectivity b. Diffusion of innovations c. Accountability d. Two-step flow
Calculate the average variable cost : From the information given, calculate the Average Variable Cost when the firm produces 12 units. Round your answer to one decimal.

Reviews

Write a Review

Macroeconomics Questions & Answers

  A current account deficit is a very healthy thing if we can

a current account deficit is a very healthy thing. if we can get foreigners to give us real goods and services and talk

  What do you think marketing ethics is central

Are marketing ethics critical to successful marketing. What do you think marketing ethics is central to building brand loyalty.

  How to choose a macroeconomic issue of current interest

Choose a macroeconomic issue of current interest for which you can find two editorial or op-ed columns from national or international newspapers or magazines that take differing positions on the issue.

  Compute the price elasticity when the price changes

Compute the price elasticity when the price changes from $6 to $5(use the arc elasticity formula). What is the change in total revenue from this price change?

  How the catch-up effect would work for the country

Select a nation that has a low per capita income and discuss how the catch-up effect would work for that country. Consider the determinants of productivity and explain some of the things that would tend to prohibit or limit that country's ability ..

  Suppose a single parent can work up to 16 hours per day at

suppose a single parent can work up to 16 hours per day at a wage rate of 10.00 per hour. various income maintenance

  Compute production possibilities curve

Show these data graphically. Upon what specific assumptions is this production possibilities curve based? What would production at a point outside the production possibilities curve indicate? What must occur before the economy can attain such a lev..

  Illustrate what methods does rakuten use to make

Illustrate what methods does Rakuten use to make it easy for a small or medium size business to use its shopping platform.

  Assume the supply for good x is estimated is good x storable

Assume the supply for good x is estimated. Is good x storable. Explain it numerically the data you are using to suppor answer.

  How much profit does an individual producer make in a month

Suppose honey is produced in a beehive using bees and sugar. Each honey producer uses one beehive which she rents for $30 per month. Producing q gallons of honey in one month requires spending 5q dollar bees and 2q^2 dollars on sugar. How much profit..

  What is the crowding out effect of budget deficits

One cornerstone of President George W. Bush's economic policy during his first term in office was tax cuts targeted towards high income and high net worth households. Under his proposals the marginal tax rate applied to capital gains taxes has bee..

  Equilibrium price and output in short run and long run

Find out the average total cost and average variable cost as a function of the level of output. Assuming the firm has the same cost curves in the long-run for q>0 and C (0) =0, how much will it produce in the long-run?

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