Macroeconomics Answers

Think about an economy initially on its long run equilibrium. Assume that
autonomous consumption spending decreases. Explain how this economy will
go back to its long run equilibrium using the AS-AD model.

a consumer buys 10 unita of a good at the price of 11 per unit then the price falls ro 9 per unit he spends rupees 90 on the goods calculate the price elasicticty of demand

Will the ceiling to output be in any way affected by the short-run rate of growth of GDP? If so, how?
Under what circumstances would you expect a rise in national income to cause a large accelerator effect? 4. Assume that interest rates fall. Under what circumstances will this lead to (a) a large rise in business investment; (b) little or no change in business investment?

If injections exceed withdrawals, will GDP go on rising indefinitely, or will a new equilibrium be reached? explain how

How we can solve supply and demand equation for finding elasticity of demand and supply at equilibrium position

Aggregate spending on South African production comprises

What is the economic term used to describe how much of an increase in income an individual would use to consume goods and services in their own economy, instead of saving it, paying it in taxes, or spending it on imports?

Graph 1. Draw graphs of 1) a tax on a good designed to raise revenue and 2) a tax on a good designed to abate an externality. Discuss the similarities and differences.

Suppose that the Fed is fixing the dollar-pound exchange rate at $2.50 = £1. If the Fed's reserve of pounds falls by £500 million, by how much would the supply of dollars increase, all other things equal?

Which will the best monetary policy in the context of a Real Business Cycle model?