You have an economy where only three goods are produced. The data available for 4 years is displayed as follows: Price for Product A (Year 1 / Year 2 / Year 3 / Year 4) - 100 / 105 / 107 / 110, Price for Product B (Year 1 / Year 2 / Year 3 / Year 4) - 35 / 37 / 34 / 30, Price for Product C (Year 1 / Year 2 / Year 3 / Year 4) – 62 / 60 / 63 / 64, Quantity for Product A (Year 1 / Year 2 / Year 3 / Year 4) – 300 / 307 / 318 / 319, Quantity for Product A (Year 1 / Year 2 / Year 3 / Year 4) – 500 / 515 / 525 / 535, Quantity for Product A (Year 1 / Year 2 / Year 3 / Year 4) – 290 / 270 / 278 / 295. Analyze inflation for the entire economy (include all three products in the overall production) using a Paasche index and use year 2 as basis year and year 3 as current year! with steps of solutions
a.the Paasche index is 1.0294
b.the Paasche index is 1.0160
c.the Paasche index is 0.9863
d.the Paasche index is 0.9985
e. the Paasche index is 1.02735
One has the following information about the sector of companies: Direct tax: 10% of the Profits from production and patrimony (income), Distributed Profits: 117% of the Direct tax, Current transfers toward other sectors: 6% from the Disposable Income, Disposable income: 56.9 billion Euro, Profits from production and patrimony (income): 74.4 billion Euro. Use an account of the sector of companies and compute the value of the current transfers received from other sectors!
a.The value of the current transfers received from other sectors is 25.1 billion Euro
b.The value of the current transfers received from other sectors is 14.6 billion Euro
c.The value of the current transfers received from other sectors is 5.6 billion Euro
d.The value of the current transfers received from other sectors is 1.0 billion Euro
e.The value of the current transfers received from other sectors is 2.1 billion Euro
For country X you have the following data for four years. Year 1: Private Consumption – 95000 billion. Euro / Public Consumption – 35500 billion. Euro / Gross capital formation – 36000 billion Euro / Net Export – (-3500) billion Euro, Year 2: Private Consumption – 99000 billion Euro / Public Consumption – 39000 billion Euro / Gross capital formation – 39500 billion Euro / Net Export – (-4800) billion Euro / GDP Deflator - 103% (compared to year 1), Year 3: Private Consumption – 98000 billion Euro / Public Consumption – 38500 billion Euro / Gross capital formation – 37500 billion Euro / Net Export – (-4200) billion Euro / GDP Deflator - 104 % (compared to year 1), Year 4: Private Consumption – 99800 billion Euro / Public Consumption – 40050 billion Euro / Gross capital formation – 39700 billion Euro / Net Export – (-4700) billion Euro / GDP Deflator - 106 % (compared to year 1). Analyze the real evolution of the GDP over the current-basis period using indices (Use year 1 as basis and Year 2 as current)!
Identify the main pieces of legislation(laws) and regulations governing the financial sector in Zambia highlighting their main provisions and when they were enacted and/or amended and the possible reasons for their enactment and/or amendment as up to the end of 2021.
For the year Y, for five countries, one has the following information: GDP (X) = 850 000 currency X / GDP (Y) = 300 000 currency Y / GDP (Z) = 1 500 000 currency Z / GDP (T) = 725 000 currency T / GDP (W) = 1100000 currency W. Basket of products with identical products over the five economies - Basket of Products = 1.25*A + 3.5*B+2*C. Country X (prices in currency X) (Products: A / B / C): 14 / 19 / 21. Country Y (prices in currency Y) (Products: A / B / C) 25 / 32 / 39. Country Z (prices in currency Z) (Products: A / B / C) 8 / 13 / 19. Country T (prices in currency T) (Products: A / B / C) 11 / 16/ 23. Country W (prices in currency W) (Products: A / B / C) 17 / 19 / 26. The correct answer is:
One has the following information about the sector of companies: Direct tax: 1.6 times larger than the Distributed Profits, Distributed Profits: 15% of the Profits from production and patrimony (income), Current transfers toward other sectors: 3% from the Disposable Income, Disposable income: 61.3 billion Euro, Profits from production and patrimony (income): 79.5 billion Euro. Use an account of the sector of companies and compute the value of the current transfers received from other sectors!
You have an economy where only three goods are produced. The data available for 4 years is displayed as follows: Price for Product A (Year 1 / Year 2 / Year 3 / Year 4) - 100 / 105 / 107 / 110, Price for Product B (Year 1 / Year 2 / Year 3 / Year 4) - 35 / 37 / 34 / 30, Price for Product C (Year 1 / Year 2 / Year 3 / Year 4) – 62 / 60 / 63 / 64, Quantity for Product A (Year 1 / Year 2 / Year 3 / Year 4) – 300 / 307 / 318 / 319, Quantity for Product A (Year 1 / Year 2 / Year 3 / Year 4) – 500 / 515 / 525 / 535, Quantity for Product A (Year 1 / Year 2 / Year 3 / Year 4) – 290 / 270 / 278 / 295. Analyze inflation for the entire economy (include all three products in the overall production) using a Paasche index and use year 2 as basis year and year 3 as current year!
You have the following information regarding the indicators included in the computation of HDI, for 4 different countries (A / B/ C / D): Life expectancy at birth (A / B/ C / D): 75.5 / 76.5 / 77 / 75.8. Average number of education (A / B/ C / D): 12.8 / 12.5 / 12.1 / 12.7. Expected number of education years (A / B/ C / D): 16.2 / 15.5 / 15.2 / 15.8. GNI /inhabit. at ppp (Purchasing power parity in USD) (A / B/ C / D):40000 / 43000 / 42000 / 44000 Some additional information for computing the HDI are: Life expectancy at birth: min. 20 years - max. 85 years, Average number of education: min. 0 years - max. 15 years, Minimal expected number of education years: min. 0 years and max. 18 years, GNI /inhabitant at ppp. (Purchasing power parity in USD): min 100 - max. 75000 USD.
The correct answer is: ? with steps
Explain the difference between heterodox and orthodox stabilization programs.
(a) Write out the equation that represents the Taylor rule. Then, discuss how the Taylor rule is used to explain the implementation of monetary policy.
(b) Central bank is very importance to determine the economic performance of the country.
(1) What can be done to increase central bank credibility?
(2) Why is central bank credibility important?
(c) Discuss the time inconsistency problem and explain how it relates to monetary policy.