Solved Exercises: Macro-Ch(23) Fall 2014 Answer the following questions: 1. In the year 2005‚ the economy produces 100 loaves of bread that they sell for $2 each. In the year 2006‚ the economy produces 200 loaves of bread that sell for $ 3 each. a. Calculate nominal GDP‚ real GDP‚ and GDP Deflator for each year (Use 2005 as the base year). b. By what percentage do nominal GDP and Real GDP rise from one year to the next? c. Calculate the rate of inflation between 2005 and 2006
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National Income is defined as the sum total of all the goods and services produced in a country‚ in a particular period of time. Normally this period consists of one year duration‚ as a year is neither too short nor long a period. National product is usually used synonymous with National income. Concepts of National Income There are different concepts of National Income‚ namely; GNP‚ GDP‚ NNP‚ Personal Income and Disposable Income. Gross National Product (GNP) GNP at market price is sum total of
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uphold the democracy and the government that serves the people. Some of these include the right to vote and the ability of citizens to maintain their status. But who’s to say some citizens wouldn’t take advantage of it? Why is an informed citizenry necessary? Well‚ without it‚ our democracy would collapse. A democratic society depends on its citizens separating the wheat from the chaff‚ forming good
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product (GDP)‚ unemployment‚ national income‚ inflation‚ price levels or rate of growth. 2. Micro Economics: It studies the market behavior of consumers and firms to understand the decision-making process of firms and households. In opposition to macroeconomics‚ microeconomics looks at the smaller picture and focuses on how individual businesses decide how much of something to produce and how much to sell it for. It focuses on patterns of supply and demand and the determination of price and output in
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Police Department has a duty to protect and serve in the public ’s best interest. Working in this particular profession‚ at times‚ can be very dangerous. Many men and women who wear the police uniform are put into positions where excessive force is necessary; however‚ there are many instances where it is not. Causes of Police Brutality: The factors that trigger into whether police abuse their power are race‚ religion‚ socioeconomic status‚ and treatment of the mentally ill. Also‚ the militarization
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Compare and Contrast the “Winners and Losers” of the Great Recession Lehman Brothers went bankrupt; Merrill Lynch was merged; AIG needed a large amount of money to get rid of financial difficulties. When the Great Recession broke out in 2008‚ it shocked the whole world and made everyone feel insecure. It seemingly was caused by sub prime mortgage crisis‚ but the underlying reason was that the U.S. government had severe problems in financial orders and development imbalances. Five years later‚ the
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Great Recession 2007-2008 Our 2007-2008 financial crisis is blamed on cheap mortgage credit‚ including lax underwriting process and government policies. In 2003‚ the government passed the American Dream Development Act‚ which provided financing to low-income families. Trying to help lower middle class families‚ the policy led to mortgage subprime mortgages. Financing to families with low credit rating at high interest rates. Since a large part of the population is middle to lower class‚ an exhaustible
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environmentally responsible solutions‚ and advocating for the rights and well-being of all people” (“What We Do”). There are a bunch of organizations looking for the well being of the environment and the people. These environmental organizations are necessary to create awareness‚ enact legislation and to assure a better future not only for us but for future generations as well. Greenpeace says that their “focus is on big political and corporate changes‚ just as much as it is on empowering people in our
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SRI LANKA Macroeconomics analysis Section C Group 4 Akhil Jain – 2C Anuj Agarwal – 6C Pranav Arora – 30C Shraddha Jha – 45C Vaibhav Srivastava -53C Vinit Patil – 55C INDEX 1. Overview 2. Macroeconomic Performance Indicators 3. Macroeconomic Challenge 1 4. Recommended solution to Macroeconomic challenge 1 5. Macroeconomic Challenge 2 6. Recommended solution to Macroeconomic challenge 2 7. Macroeconomic Challenge 3 8. Recommended solution
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The Great Depression vs. the Great Recession Although both the Great Depression and Great Recession of 2008 are similar since they both had severe psychological effects and the deregulation of banks‚ and they differ in that the Great Depression occurred because of unequal distribution of wealth whereas the Great Recession occurred due to the push of becoming a homeowner regardless of credibility. If the United States wished to avoid future economic calamities‚ then its leaders should focus on providing
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