Search & Filtering
Classical economists assumed that velocity was stable in the short run. But
suppose that, because of a change in the payments mechanism—for example,
greater use of credit cards—there was an exogenous rise in the velocity of money.
What effect would such a change have on output, employment, and the price level
within the classical model?
Explain how aggregate demand is determined within the classical model. What
would be the effects on output and the price level of a drop in money supply?
What are the differences between the Fisherian and Cambridge versions of the
quantity theory of money?
Consider the effects of a government employment subsidy whereby the
government paid 10 percent of the wages of newly hired workers. How would
employment and output be affected by the program in the classical model? What
would be the effect on the position of the aggregate supply schedule.
Suppose that due for example to reconstruction after a war, the capital stock of a
nation increases. Use the graphical framework to illustrate the effect that the
increase in the capital stock would have on output, employment, and the real wage
in the classical model.
Provide examples of demand-side factors that would not affect the level of output
and employment.
In microeconomics, we expect the supply curve for the firm to slope upward to the
right when drawn against price. The classical aggregate supply curve is based on
this microeconomic theory of the firm but is vertical. Why?
The purpose of a study by Nozawa et al. (A-11) was to determine the
effectiveness of segmental wire fixation in athletes with spondylolysis.
Between 1993 and 2000, 20 athletes (6 women and 14 men) with lumbar
spondylolysis were treated surgically with the technique. The following
table gives the Japanese Orthopaedic Association (JOA) evaluation score
for lower back pain syndrome for men and women prior to the surgery.
The lower score indicates less pain.
Gender JOA Scores
Female 14,13,24,21,20,21
Male 21, 26, 24, 24, 22, 23, 18, 24, 13, 22, 25, 23, 21, 25
a) A researcher estimated the following regression equation for sorghum production,
Yt from the use of various amounts of fertilizer, X1 and insecticides X2 on a hectare
basis using time series data from 2001 to 2010.
The operation model is:
Yt = B0 + B1X1 + B2X2 + ei
The estimated regression equation is:
Yt = 31.98 + 0.65X1 + 1.10X2
(0.24) (0.27) (0.25)
Adjusted R2 = 0.989
Figures in parenthesis are standard error of estimates.
i) Estimate the t-values for each of the coefficients
ii) Interpret the results
In the organization, it is important that we update our people
to the current state of the business. SWOT is one of the
framework that clearly show where we are and the chances of
where we are going. So it is very essential that our people
know what it means.
To give the presentation clarity, design your own visual
representation of SWOT Analysis and PORTER’s Five forces.
Note: Design your own icon that may represent the factors.
Note: Do this in a short bond paper. The icon should cover half of the bond paper. Make it presentable. Afterwards, write a short explanation about the icon in 5-7 sentences only.
