Questions from Macroeconomics

Q: Explain what is likely to happen to U.S. export

Explain what is likely to happen to U.S. export and import spending as a result of the dollar depreciating in value.

Q: Explain how expectations about future prices and incomes will affect consumption.

Explain how expectations about future prices and incomes will affect consumption.

Q: Explain how expectations about future sales will affect investment.

Explain how expectations about future sales will affect investment.

Q: What is the classical economics position with respect to; (

What is the classical economics position with respect to; (a) Wages, (b) Prices, and (c) Interest rates?

Q: Explain how the economy can operate beyond its institutional PPF but not

Explain how the economy can operate beyond its institutional PPF but not beyond its physical PPF.

Q: When speeding tickets were $100, usually 500 speeders on the

When speeding tickets were $100, usually 500 speeders on the roads each month in a given city; when ticket prices were raised to $250, usually 215 speeders were on the roads in the city each month. Ca...

Q: According to economists who believe in a self-regulating economy,

According to economists who believe in a self-regulating economy, what happens—step by step—when the economy is in a recessionary gap? What happens when the economy is in an inflationary gap?

Q: If wage rates are not flexible, can the economy be self

If wage rates are not flexible, can the economy be self-regulating? Explain your answer.

Q: Explain the importance of the real balance, interest rate, and

Explain the importance of the real balance, interest rate, and international trade effects to long-run (equilibrium) adjustment in the economy.

Q: Suppose that the economy is self-regulating, that the price

Suppose that the economy is self-regulating, that the price level is 132, that the quantity demanded of Real GDP is $4 trillion, that the quantity supplied of Real GDP in the short run is $3.9 trillio...