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Question 1
1.1 Explain the effectiveness of the exchange rate regime being used in terms of achieving macroeconomics objectively in South Africa.
1.2 Discuss any four macroeconomics objectives which can be used to judge the performance of the economy.
Question 2
Many analysts in both developed and developing worlds have heavily criticized the cases of monopolies.
Discuss using relevant examples whether it is a good policy for the governments to completely eliminate monopoly power.
Question 3
3.1 Inflation is now a key challenge in many developing countries in Africa.
Explain the concept of cost-push and demand-pull inflation with aid of diagrams. Use a country of your choice to exemplify the effects.
3.2 Evaluate the best policies you consider government should use to reduce inflammation in South Africa
Question 4
World Bank reports 2011 shows the lowest per capita income levels being in Africa.
Provide a detailed analysis of the policies that the government could use to increase the living standards of the people.
Develop a response that includes examples and evidence to support your ideas, and which clearly communicates the required message to your audience.
Describe the industry equilibrium price/output combination both graphically and algebraically. Calculate the level of excess supply (unemployment) if the minimum wage is set at $7 per hour.
Paul Volker was chairman of Federal Reserve system in the late 1970 and through most of the 1980.
Assume that economy starts at equilibrium and the mpc= 0.75. Determine what would be the effect of a $300 increase in government spending once all the rounds of the multiplier process are complete?
Utilizing Edgeworth box diagrams for a society of two people, explain why societies that promote market exchange are likely to be more efficient. Are they also likely to be more equitable.
Assume you borrow $1 million. According to MM, Illustrate what fraction of the firm's equity will you need to sell to raise the additional $1 you need.
Elucidate your answer using proper economic terms and analysis.
The supply and demand equations for a hypothetical perfectly competitive market are given through QS=-100+3P and QD = 500 - 2P.
Describe the economic causes also consequences of environmental devastation and its impact on achieving sustainable growth and development.
Suppose a closed economy, with fixed prices, represented by the following set of equations, Where, D is the aggregate demand, and C is consumption;
Would there be a cost to you to attend the Cowboys' games during the 2010 season and is anything puzzling about Falk's pricing pattern?
Describe the economic situations when your position can be successfully implemented and when it may be doomed to failure.
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