Investment patterns in the economy

Assignment Help Business Economics
Reference no: EM131665833

Journal

  • The interest rate affects the investment patterns in the economy. A friend of yours suggests a get-rich-quick scheme: Borrow from the nation with the lower nominal interest rate, invest in the nation with the higher nominal interest rate, and profit from the interest-rate differential. Do you see any potential problems with this idea? Explain. What are the cons of the strategy?
  • Consumer spending during holiday seasons affects the aggregate demand (AD) in the economy. AD drastically declines during serious recessions. In 1939, with the U.S. economy not yet fully recovered from the Great Depression, President Roosevelt proclaimed that Thanksgiving would fall a week earlier than usual so that the shopping period before Christmas would be longer. Explain what President Roosevelt might have been trying to achieve, using the model of aggregate demand and aggregate supply. Was the policy effective to increase AD?

Reference no: EM131665833

Questions Cloud

Explain the strengths experimental research design : Write a 1,050- to 1,400-word paper describing the types and functions of research designs.The strengths and limitations of experimental research designs.
Brand of low calorie microwaveable food : The maker of a leading brand of low calorie microwaveable food estimated the following demand equation for its product using data.
Discuss client with idiopathic thrombocytopenia purpura : A nurse is caring for a client with idiopathic thrombocytopenia purpura (ITP). What intervention should be performed when caring for this client
Discuss the compton associate strategy : Strategy, balanced scorecard, service company. Compton Associates is an architectural firm that has been in practice only a few years.
Investment patterns in the economy : The interest rate affects the investment patterns in the economy. A friend of yours suggests a get-rich-quick scheme:
Simple trend model to the time series : Fit a simple trend model to the time series data and discuss the findings.
Describe the federal appellate system : Describe the Federal Appellate system. How does one get a case before the Appellate judiciary? How influential are the appellate courts amongst one another?
Research about the prosecutorial misconduct : What did the prosecutor do wrong? How does immunity protect the prosecutor from the consequences of his or her misconduct?
Forensics report - produce formal report consisting of facts : Task: Forensics Report. Considering a real or a hypothetical case you are required to produce a formal report consisting of facts

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

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