Macroeconomics Answers

The fundamental economic problem society is confronted with involves ___________.

a.   ensuring they get what they want

b.   ensuring the lowest possible satisfaction of needs with these scares resources

c.   choosing how it will use its scarce resources to the maximum effect in order to satisfy its needs

d.   making as much profit as possible regardless of the needs of society 

Discussion Question 2

Latin American and Caribbean citizens who migrate to the United States earn salaries there that are higher than what they were earning at home. Since the migrants have the same skills as when they lived in Jamaica, why are they apparently more productive in their new country?

Compare and contrast South African government expenditure trends with other global economies

over the past 10 – 15 years

If Gouda cheese and cheddar cheese are substitutes, then which of the following would increase the demand for cheddar cheese?

 What happens to the airline industry’s market supply curve as a result of the following events? 

a) There is an increase in the price of oil; 

b) Airline workers demand and receive a 20% increase in their wage; 

c) Pratt & Whitney develops an airplane engine that is 50% more fuel-efficient; 

d) U.S manufacturers of airplanes are subsidized by the U.S. government. 

If 2020 is the base year for real gdp calculations we know for certain that nominal gdp?

describe the course of events in a competitive market where there is a permanent decrease in demand and a permanent increase in demand

Explain graphically how fiscal expansion can be accomodated by monetary expansion through IS, LM curves.

How the golden rule different from the steady state

Ql.( a) Explain graphically the effect of increase in government expenditure on equilibrium level of income and interest rate in case of crowding out.

(b) Explain graphically how fiscal expansion can be accomodated by monetary expansion through IS, LM curves.