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Illustrate the UK macroeconomic performance
UK macroeconomic performance must be judged on economy's long-term ability to produce growth, create jobs and improve living standards, control inflation and run equilibrium on current account of balance of payments. This answer considers and then evaluates every one of these in turn before coming to an overall conclusion on whether the growth of developing market economies has improved or deteriorated UK macroeconomic performance.
What is independent monetary policy Advantages: First, in a freely-floating exchange rate, the exchange rate must move down or up to correct a payments imbalance. Second, monet
The price level is the monetary value of a good or service.
Price Mechanism Price mechanism is the point, which equilibrates supply and demand within a market. It is a mechanism of pricing. The price mechanism is one, which permits the p
The tax-adjusted Multiplier and the balanced budget Multiplier are explained below: Taxes act as drag on the multiplier effect of government expenditure, because they represent
Financing of the external payments deficit: The trend in India's widening CAD during the second half of the eighties, both in absolute terms and also as a proportion of the
Joe has preferences over pizza (p) and beer (b) given by U = pb. The marginal utilities are MU p = b and MU b = p, and Joe's income is I = 60. 1. Find Joe's optimal consumptio
"No point is better accepted than the fact that the monopoly price is higher and the output smaller than what is socially ideal. The public is the victim." (a) Explain between
factors that causes the shifts in balance of payments
Show the effects on the price level and real GDP of a major union wage settlement that significantly increases wages. Is this a supply shock, a demand shock, or both?
What is the difference between money multiplier and credit multiplier
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