Questions from Macroeconomics

Q: From the information on pages 181–83, in 2010 what

From the information on pages 181–83, in 2010 what was (a) The APC? (b) The APS? (c) The MPC? (d) The MPS?

Q: On the accompanying graph, draw the consumption function C = $

On the accompanying graph, draw the consumption function C = $200 + 0.75YD. (a) At what level of income do households begin to save? Designate that point on the graph with the letter A. (b) By...

Q: Illustrate on the following two graphs the wealth effect from declining home

Illustrate on the following two graphs the wealth effect from declining home prices.

Q: llustrate on the following graphs the impact of Panasonic’s changed investment plans

llustrate on the following graphs the impact of Panasonic’s changed investment plans.

Q: Complete the following table:  Real Output

Complete the following table:  Real Output Demanded (in $ billions) by   Price Level Consumers + Investors + Government + Net Exports = Aggregate Demand Aggregate Supply  120 80 ...

Q: On the following graph, draw the AD and AS curves with

On the following graph, draw the AD and AS curves with these data: Price level 140 130 120 110 100 90 80 70 60 50  Real output Demanded 600 700 800 900 1,000 1,100 1,200 1...

Q: From 1960 to 2010, in how many years did (

From 1960 to 2010, in how many years did (a) Real consumption decline? (b) Real investment decline? (c) Real government spending increase at least $100 billion?

Q: Can we increase consumption in a given year without cutting back on

Can we increase consumption in a given year without cutting back on either investment or government services? Under what conditions?

Q: The accompanying graph depicts a macro equilibrium. Answer the questions based

The accompanying graph depicts a macro equilibrium. Answer the questions based on the information in the graph. (a) What is the equilibrium rate of GDP? (b) If full-employment real GDP is $1,200, what...

Q: Suppose that investment demand increases by $200 billion in a closed

Suppose that investment demand increases by $200 billion in a closed and private economy (no government or foreign trade). Assume further that households have a marginal propensity to consume of 75 pe...