Expansionary - Study guides, Class notes & Summaries

Law of supply When market price increases, supply increases (incentive to supply more is higher because firms can make more $) Movement along the curve Shift in the curve: Changes in supply outside of price (more secular changes - new tech, etc) Law of demand When market price increases, demand decreases Shift in the curve: Changes in demand outside of price (demand can shift to another related good if something affects the original good (E. Coli in beef -- shift to chicken)) Equi...

Most economists agree that the focus of the fiscal policy is to correct answers Balance aggregate demand and aggregate supply The fallacy in the strict crowding-out argument comes from supposing that correct answers The economy's flow of savings is fixed If personal income taxes are increased disposable income and consumption correct answers Decrease Money is an imperfect store of value when correct answers a. the rate of inflation is high. One of the practical issues in the choice ...

Macroeconomics Milestone 3 1. Which of the choices below is NOT true about expansionary fiscal policy? A: It will result in an increase in the unemployment rate. 2. Which statement below corresponds to the term "central bank?" A: They have a variety of tools that can be used to control the money supply. 3. Which of

CFA Level 1 - 101 Must Knows 368 Questions with Verified Answers Addition Rule of Probability - CORRECT ANSWER ADDITION: P(A or B) = P(A) + P(B) - P(AB) Roy's Safety First Criterion - CORRECT ANSWER Safety First Ratio = (E(R) - Rₜ) / σ Larger ratio is better If (Rₜ) is risk free rate, then it becomes Sharpe Ratio Sharpe Ratio - CORRECT ANSWER Sharpe Ratio = (E(R) - RFR) / σ Larger ratio is better If (Rt) is higher than RFR, then it becomes Safety First Ratio Centra...

Three Measurement Challenges It is a task for empirical research to assess the macroeconomic impact of the various channels of monetary transmission and to look for changes in the channels’ strength over time. Empirical work on these issues, however, immediately comes up against a number of challenges. The first challenge is that of simultaneity. Typically, the Federal Reserve loosens policy when the economy weakens and tightens when the economy strengthens; this endogenous r...

to what extent did the political landscape change 1918-79? ARGUMENT- changes massively, war most prominent change PARA 1- rise of labour+decline of the liberals. Lloyd-george outed asquith, seen as traitor. caused a split in the liberals, failed to reunite for 1918 election. Tories rejected coalition, allowed labour to rise. ww1 led to more trade union members, no more fptp. labour became the main opposition in 1929, parties shared the goal of getting rid of liberals PARA 2- ww2. the war ...

Exam 4 All Questions and answers, VERIFIED. Why is it important to monitor and revise your financial pan on a regular basis? - -Your financial position changes over time as does your personal, job, and family situation One of the steps to implement your financial plan should be to keep your goals constant for many years. - -False A person with a college degree is likely to earn over $1 million more in lifetime earnings than a person with only a high school degree. - -True Obtaining a...

AP Macroeconomics Exam Questions Marking Scheme New Update (Verified A+ Pass) Movement on Short-Run Phillips Curve - Answers - Shift in AD (graph movement is in opposite direction) Shift of Short-Run Phillips Curve - Answers - Shift in SRAS (shift is in opposite direction) Shift of Long-Run Phillips Curve - Answers - Factors of Production/Shift in LRAS (shift is in opposite direction) Factors of Production - Answers - 1. Land 2. Labor 3. Capital 4. Technology 5. Sometimes Foreign...

monetary policy correct answers changes in the supply of money and the availability of credit to promote price stability, full employment and economic growth monetary policy correct answers the actions undertaken by a central bank, such as the Federal Reserve, to influence the availability and cost of money and credit to help promote national economic goals federal reserve correct answers the central bank of the U.S.: dual mandate to maintain full employment and keep prices stable; this is...

ECS1601 Assignment 2 (DETAILED ANSWERS) 2024 - DISTINCTION GUARANTEED - DISTINCTION GUARANTEED - DISTINCTION GUARANTEED Answers, guidelines, workings and references ... Which one of the following is most likely to increase the demand for US dollars on the South African foreign exchangemarket? a. a decrease in international tourism by South Africans. b. a recession in South Africa. c. an expected decline in the value of the rand relative to the dollar. d. a fall in the interest rates in ...