Macroeconomics Answers

Mathematical economics is not a branch of economics but provides a wheel on which economic analysis can ride...Discuss....

why has the australian dollar soared over the last 5 years?

Other complications that the minister of finance should consider in the implementation of fiscal policy are current account deficit and exchange rate?

1. Explain with the aid of a diagram the impact of imposition of a specific import tariff on domestic production and imports.
2. Explain with the aid of a diagram the impact of changes in demand or supply of US dollar on the South African forex market.
3. Explain the appreciation and depreciation of the South African Rand agsinst the US Dollar.
4. Explain the exchange rate between the US Dollar and South African Rand.

1. Flexible and floating exchange rates offer an effective international
monetary arrangement. Discuss.
2. Why would Namibia export clothing to China, and also import clothing
from China? <why do countries trade in the same types of goods? –
intra-industry trade>
3. What is the effect of high inflation on the national currency?
4. What is exchange rate purchasing power parity? Why is it useful?

Suppose real GDP is growing at 4 percent, the money supply is growing at 11 percent, the velocity of money is constant, and the real interest rate is 6 percent.

a. What is the current inflation rate aand nominal inerest rate?
b. If the money supply growth rate inceases to 15 percent, how will your answer in part (a) change?

c. If you were an investor, how would the change in the money supply growth affect your real p rae?trofitability, assuming that you now receive the new nominal inerest?
d. Based on your previous answers, would you prefer a fixed or a floating interest on your investment? Which you would prefer if you thought the money supply growth was going to be reduced?



Read answer
Economics: Macroeconomics Macroeconomics Question #14242 from Kleopas christian Suppose real Gdp is growing at 4%, the money supply is growing at 11%, the velocity of money is constant,and the interest rate is 6%.
a) Whats the current inflation rate and norminal interest rate?
b) If the money supply growth rate increases to 15%, how will your answer in part (a) change?
c) If you were an investor, how would the change in the money supply growth affect your real profitability, assuming that you now receive the new norminal interest rate?

d) Based on previous answers, would you prefer a fixed or floating interest rate on your investments? which would you prefer if you thought the money supply growth was going to be reduced?

ANSWER FOR ME (c) and (d) please

Read answer
Economics: Macroeconomics Macroeconomics Question #14241 from susana briefly discuss two other complications that the minster of finance should consider in the implementation of fiscal policy (excluding crowing out and net exports)

Read answer
Economics: Economics of Enterprise Economics of Enterprise Question #14237 from tobias What does economists mean by the word inflation

Read answer
Economics: Macroeconomics Macroeconomics Question #14236 from susana suppose real GDP is growing at 4 percent, the money supply is growing at 11 percent, the velocity of money is constant, the real interest rate is 6 percent, what is the current inflation rate and nominal interest rate ? if the money supply growth rate is 15 percent, how will your answer in part (a) change? if your an investor, how would the change in the money supply growth affect your real profitability, assuming that you now receive the new nominal interest rate?

Suppose real GDP is growing at 4 percent, the money supply is growing at 11 percent, the velocity of money is constant, and the real interest rate is 6 percent.

a. What is the current inflation rate aand nominal inerest rate?
b. If the money supply growth rate inceases to 15 percent, how will your answer in part (a) change?

c. If you were an investor, how would the change in the money supply growth affect your real p rae?trofitability, assuming that you now receive the new nominal inerest?
d. Based on your previous answers, would you prefer a fixed or a floating interest on your investment? Which you would prefer if you thought the money supply growth was going to be reduced?

Suppose real Gdp is growing at 4%, the money supply is growing at 11%, the velocity of money is constant,and the interest rate is 6%.
a) Whats the current inflation rate and norminal interest rate?
b) If the money supply growth rate increases to 15%, how will your answer in part (a) change?
c) If you were an investor, how would the change in the money supply growth affect your real profitability, assuming that you now receive the new norminal interest rate?

d) Based on previous answers, would you prefer a fixed or floating interest rate on your investments? which would you prefer if you thought the money supply growth was going to be reduced?

ANSWER FOR ME (c) and (d) please

briefly discuss two other complications that the minster of finance should consider in the implementation of fiscal policy (excluding crowing out and net exports)

suppose real GDP is growing at 4 percent, the money supply is growing at 11 percent, the velocity of money is constant, the real interest rate is 6 percent, what is the current inflation rate and nominal interest rate ? if the money supply growth rate is 15 percent, how will your answer in part (a) change? if your an investor, how would the change in the money supply growth affect your real profitability, assuming that you now receive the new nominal interest rate?