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Macroeconomics Answers

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In the above figure, illustrate the effect on the AS curve from an increase in the money price of a key input/resource such as oil.
country’s current account / positive balance of payments
Use a diagram of the open economy model to illustrate and explain the effect of the following event on the market for loanable funds, the level of net foreign investment, the market for foreign-currency exchange, the market of good and services and the job market. In your answer make sure you discuss the impact on the following variables:
• Interest rates, public savings, private savings, national savings, investment, net foreign investment, supply of currency, the exchange rate and the level of net exports.
Event: There is a decline in consumer confidence in the economy
Note: Ignore the detail and politics of this event. Focus only on analysing the market adjustment in each case. Fully explain all the transmission mechanism.
Examine how the purchasing-power parity theory determines exchange rates and their implications on trade, job creation and interest rate on the country.
Explain how net foreign investment measures the international flow of capital and how it can influence the market of goods and services, labour market and financial market.
Hint: Provide possible examples or case studies.
Hi,

If Central banks can create money for quantitative easing and use this money yo buy bonds etc, why can't they just create money to pay off government debt?

explain how costly is inflation,and how costly is reducing inflation?
According to the Application, the reason why the problem caused by subprime loans came to light was because
WHAT IS MENT BY STEADY STATE IN THE SOLOW MODEL? ERIVE CONDITIONS FOR STEADY STATE IN AN ECONOMY. WHAT IS THE SIGNIFICANCE OF DECREASING RETURNS IN THE SOLOW MODEL?