countries. How the recession affects an economy depends‚ among other things‚ on the state of the economic fundamentals of the country when the recession sets in. Economies with sound macroeconomic indicators will be able to face the recession with expansionary policies. However‚ countries with poor macroeconomic indicators at the onset of the recession can follow the expansionary policies only at the cost triggering a crisis of greater proportion. The global recession has posed policymakers
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Study Persistent public expenditure and inflation have become major concerns in both developed and developing countries. Extensive theoretical and empirical literatures have been developed to examine the relationship between Public expenditure and macroeconomic variables. The monetarists share the view that fiscal deficits are harmful to an economy. While some of the increases in the public expenditure have been associated with declining tax revenue resulting from the recession‚ others relate to the increase
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Discuss whether the introduction of maximum prices by a government would solve the problem of scarcity. Introduction Maximum price is the highest possible cost of a good or a service that is legally allowed. While an unregulated market usually does not have a maximum price besides what consumers are willing to pay‚ during certain times‚ the government would step in to assert some price control so that consumers within the country will not be affected that badly by inflation. (BusinessDictionary
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THE GLOBAL FINANCIAL CRISIS AND EASING OF MONETARY AND FISCAL POLICIES IN KENYA: HAS THE ECONOMY ACHIEVED INTERNAL AND EXTERNAL BALANCE? CEC 702: Macroeconomics I Assignment One Submitted by: Peter Kitonyo Registration No.: X80/81901/09 To: Dr. Rose Ngugi 29th January 2010 THE GLOBAL FINANCIAL CRISIS AND EASING OF MONETARY AND FISCAL POLICIES IN KENYA: HAS THE ECONOMY ACHIEVED THE INTERNAL AND EXTERNAL BALANCE? Introduction The global financial crisis continues to cause a
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MACROECONOMICS ASSIGNMENT SECTION 2‚ TEAM 5 DATE: 30TH JUl 2012 The current macroeconomic scenario of China: China has been among the world’s fastest growing economies since opening up to foreign trade and investment and implementing free market reforms in 1979 with real annual gross domestic product (GDP) averaging nearly 10% through 2011. In recent years‚ China has emerged as a major global economic and trade power. It is currently the world’s second largest economy‚ largest merchandise
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American Economic Association A Child ’s Guide to Rational Expectations Author(s): Rodney Maddock and Michael Carter Reviewed work(s): Source: Journal of Economic Literature‚ Vol. 20‚ No. 1 (Mar.‚ 1982)‚ pp. 39-51 Published by: American Economic Association Stable URL: http://www.jstor.org/stable/2724658 . Accessed: 30/07/2012 13:35 Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use‚ available at . http://www.jstor.org/page/info/about/policies/terms.jsp
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and E) Instructor Sudip Chaudhuri Room B-207; Ext 185 1 India and the World Economy • Economics I and II: – Microeconomics – Macroeconomics • Economics III: – Course objective: analyze economic problems of India in the context of the ongoing process of globalization 2 How is India performing? What are the main economic issues? 3 Some Macroeconomic indicators • • • • • • • • • GDP Inflation Fiscal deficit Trade and current account deficit/balance Interest rates Repo‚ reverse
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Macroeconomic indicators are defined as statistics that indicate the current status of the economy by determining the position or changes of different sectors in the economy for example industry‚ labour‚ market and trade. Key Economic Indicator: The Australian Dollar The Australian dollar is a very important economic indicator due to it being very effective in determining the strength of the economy. The Australian dollar is the currency used to purchase goods and services in Australia‚ however
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to the internal or external sources. It is required when the stocks of government securities are insufficient to cover previous budget deficits. Budget deficits occur when the level of government expenditures exceeds its revenues. Based on macroeconomic theory‚ the level of government expenditure must be positive with the economic growth. The higher the expenditure‚ the higher will be the economic growth. Government expenditure can be divided into productive and unproductive expenditure. Productive
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Economics | | |Sr. No. |Core Areas |Percentage | |1. |Micro-Economics |15% | |2. |Marco-Economics |15% | |3. |Econometrics
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