1. In the long run an increase in the money supply results in E a proportional increase in price…
Capitalism is an economic system where the government is hands off of businesses and people work to make profit, it is based off of private ownership. In document one of the DBQ, it states that capitalism is "based on the private ownership of capital, and on the production of goods and services for profit" (document 1). Even though it may sound like a good idea, many people were unhappy with capitalism because on lthe people who took the risk to invest money were wealthy and everyone else, for the most part was poor. The solution to these problems were new ideas of economic systems. Socialism was one idea. Socialism was an economic system where there is eocnomic equality and the government owns big industries. Documemnt four of the…
Since the market orientated economic reforms were introduced in 1978 (Khan, Hu (1997, P103) China’s economy has seen a 10% increase in Gross Domestic Product (GDP) Per year (Vincellete, Manoel, Hansson, Kuijs, (2010, P 4) which is extremely impressive considering all other developing countries have experienced a 4% increase annually (Vincellete, Manoel, Hansson, Kuijs, (2010, P 4). Prior to the global financial crisis in 2005, the economic growth had averaged 9.5% over the past 2 decades (Economic Surveys: China 2005, (September 2005, P2) During the global financial crisis in 2008-2009, exports shifted from 20 percent annual growth to an annualized contraction of more than 25 percent in early 2009 (Vincellete, Manoel, Hansson, Kuijs, (2010, P 4) However, prompt and vigorous policy actions, as well as swift adjustment in the labour market, helped growth pick up by the second quarter of 2009, putting China in the lead of the global recovery (Economic Survey of China 2010: Achievements, prospects and further challenges, ( February 2, 2010) The success of the Chinese Economy recently, especially during the economic , crisis has been speculated to be the cause of the popular government owned companies. Registered private businesses grew at a rate of 30% annually from 2000 to 2009 affecting different industry sectors from oil to banking (Entrepreneurship in China: Let a million flowers boom (March 10, 2011) and has been the…
In each of the following identify which of the economic principle(s) (see below) is at work.…
Currently, our country is in a recession, and the unemployment rate is at an all-time high. The unemployment rate consists of people not only out of work but also those who can work and are actively looking for work (Colander, 2010). Unemployment also means there are more people out of work than there are jobs available (Colander, 2010).…
An economic forecast tries to predict the future of the economy based on several factors including housing prices, unemployment rate, GDP and interest rates. Expectations in the U.S. economy in the year 2013 are slightly improving over the last several years of a dismal outlook. Over the last several years, housing prices had been dropping rapidly, but in the last year, prices have leveled off and are slightly on the rise again. This implies that there is a growing demand for houses and supply is less than it was before. With interest and inflation currently at very low rates, people are able to afford to buy houses. Add to that decreasing unemployment rates and you have the recipe for an improving economy.…
Assume a consumption function that takes on the following algebraic form: C = $100 + .8Y. Assume that Y = $1000 what is the level of consumption at this income level.…
The economic system of capitalism involves the production and consumption of goods and services. Making a profit is the ultimate incentive (or reason)…
This paper was prepared for ECN 150, Introduction to Microeconomics, Module 2 Homework Assignment taught by Nikki Follis.…
List and explain the four principles of individual decision-making. In your explanation identify elements that go into the decision making process.…
See how economics can be understood as a game with rules that is played by people with different roles.…
Playing the stock market is like gambling. Such speculative investing has no social value, other than the pleasure people get from this form of gambling.…
This course presents the basic analytical tools of microeconomics, building on the concepts and intuition that students will have derived from their micro principles courses.…
My conceptions of economics are not well formulated or unambiguous. I know little about the subject and what I do know stems from popular culture. Nevertheless, before reading “The Economic Ways of Thinking” I scribbled my definition, “economics: the study of money and what people do with it.” My perception of economists likened the Duke brothers of “Trading Places;” impersonal, rich, and a bit evil. I considered it an economist’s intention to understand a market, including its patterns and shortfalls, to reap profit. However, I interpreted Heyne’s (et al) “economics” to hinge on the interactions between people and the cooperation required to achieve flow within a system. Contrary to my own definition, “The Economic Way of Thinking” defines economics as “a theory of choice and its unintended consequences” (2002, pg. 11). This approach is far more holistic and humanitarian than my expectations. Furthermore, the position seems akin to anthropologic studies rather than greed.…
In most countries the birth rate has fallen as incomes and the economic opportunities for women have increased. The expansion of women’s income has discouraged fertility. Women have found it more expensive to have kids because of time and limited resources. First being a full time Mother can conflict with the amount of time away from the house. It cost money to have someone watch kids during the day. Women rather only have one or two children because excessiveness is expensive on both incomes. Second, large family use to be necessary in the days of high infant mortality rates and additional children were needed to ensure that a reasonable number would survive. But with today’s technology that is not likely an issue with families. Last we have more birth control options then before and it’s also affordable in lower income families in some countries.…