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Macroeconomics
Explore questions in the Macroeconomics category that you can ask Spark.E!
- market in which the currencies of different countries are being bought and sold
- the situation when a country's imports of goods and services are greater than its exports
- **-if the fund borrowed from foreigners exceed the loans made to them-increase supply of funds that can be loaned to borrowers
- the use of gov taxation and expenditure policies for the purpose of achieving macroeconomic goals-conducted by Congress and the president
- the price of one unit of foreign currency in terms of the domestic currencye.g. if it takes 1.50 to purchase AN english pound, the dollar-pound ____ is 1.50
- a highly aggregated market encompassing all resources (labor, physical capital, land, and entrepreneurship) contributing to the production of current output-includes market for labor services, natural resources, and physical capital-business firm demand resource to produce goods and services-households supply labor and other resources to get income-payments made to household sum up to national income -income is used 4 tax, finance gov expenditures, buy goods and services
- the proportion of after-tax income that is not spent on consumption-"flow" concept
- the percentage of the amount borrowed that must be paid to the lender in addition to the repayment of the principal-overstates the real cost of borrowing during an inflationary period-when inflation is anticipated, an inflationary premium will be incorporated into this rate-often called nominal interest rate
- the supply of currency, checking account funds, and traveler's checks. these items are coubted as mobey because they are used as the means of payment for purchases
- the deliberate control of the money supply, and, in some cases, credit conditions, for the purpose of achieving macro economic goals
- If households in the economy decide to take money out of checking account deposits and put this money into savings accounts, this will initially
- type of employment we should worry about
- A direct relationship between consumption and disposable income
- Consumption decreases as a percentage of disposable income increases
- Reduces the purchasing power of the dollar but may have no impact on real income
- Arbitrarily redistributes income from creditors to debtors
- in 2010, Maxine's nominal income increased by 3% while the price level rose by 1%. Consequently, Maxine's real income:
- Suppose the CPI is currently 126, while its value one year previously it was 120. The rate of inflation over the past year was:
- Suppose a factory minimizes its average costs by producing 50 metal bars per week. It can produce this output profitably at an expected price of $4 each, corresponding to expected demand of DM. With flexible prices, which of the following is the most likely initial consequence of a change in demand?
- If the natural rate of unemployment is 5.5% and the actual unemployment rate is 6.5%, then, according to Okun's law the GDP gap is: