QUESTION In this project, students will explore major economic upsets of the COVID-19 pandemic, and its impacts on the global economy. You should use a variety of resources and analytical tools to assess the causes, consequences, and policy responses. Understand the macroeconomic factors that contributed to significant economic crises. Analyze the impact of the COVID-19 Pandemic on various economic indicators. Evaluate the effectiveness of policy […]

QUESTION Imagine a competitive market for Good X. The market demand curve is a straight line. Along this demand curve, a 1% increase in price leads to a greater than 1% decrease in quantity demand. The market supply curve is also a straight line. Along this supply curve, a 1% increase in price leads to a less than 1% increase in the quantity supplied. The […]

QUESTION Please help understanding in depth details for: Fixed versus Floating Exchange Rates Please provide simple examples relating to economy to potentially Debate Fixed versus Floating Exchange Rate. 1. How can I Debate Fixed versus Floating Exchange Rate? 2. How do I support a fixed exchange rate as the best policy while defending a floating exchange rate? 3. How to express my arguments by incorporating […]

QUESTION Using the AD-AS model, starting from a short-run equilibrium below the level of full-employment, discuss a possible policy action that a central bank can adopt to bring the economy back to the long-run equilibrium. Ensure you use relevant graphs and discuss the channels through the policy functions. ANSWER Central Bank Policy and Long-Run Equilibrium: An AD-AS Model Analysis Introduction The Aggregate Demand-Aggregate Supply (AD-AS) […]

QUESTION Imagine that the central statistical agency of a country wishes to calculate the inflation rate. Imagine further that the only goods that are relevant for this purpose are apples, bananas and cherries. Table 1: Price and Quantity of three goods, from 2019 -2021 Product       Quantity (2019)          Price (2019)        Quantity 2020   Price 2020   […]

QUESTION The people in an economy have $225 million in money. There is only one bank that all the people deposit their money in and it holds 20% of the deposits as reserves. What is the money multiplier in this economy? Please calculate the answer to one decimal. ANSWER The Money Multiplier and Its Significance in Monetary Policy Introduction The concept of the money multiplier […]

QUESTION In a given production process, each item goes through two manufacturing stages. At the end of each stage, they are reprocessed in the same stage with probability 0.2, discarded with probability 0.10, or passed to the next stage with probability 0.70. The processing cost per item in stage 1 is $2000 and $1000 in stage 2. The processing cost for each item is $200 […]

QUESTION As you have learned by now, Keynesian economics is a macroeconomic economic theory of total spending, also known as aggregate demand and its effects on output, employment, and inflation. Based on his theory, Keynes advocated for increased government expenditures and lower taxes to stimulate demand in order to pull the global economy out of a recession. One of the by-products of Keynesian economics is deficit […]

QUESTION Watch the viral video, “Fight of the Century: Keynes Vs. Hayek” and create an original post describing your thoughts and new considerations on the material described in the presentation. Watch this video several times, if possible. The information dispensed is more in depth and complete than many master’s level econ courses. It is also HIGHLY entertaining! This is a video that has famously made […]