1. Property rights and a strong titling system are seen as important to economic development because they allow:

a. loans to be taken out against the equity of their assets, increasing investment.

b. loans to be taken out without risk, increasing the quality, not quantity, of investment.

c. savers to invest in property and capital.

d. agencies with authority to verify titling to thrive in the economy.

2. Over the 1980 and 1990s, countries that were given large amounts of aid:

a. experienced growth of 1 percent regardless of the policy in place.

b. saw GDP shrink by 1 percent regardless of the policy in place.

c. saw GDP shrink by 1 percent even if they had sound policy in place.

d. experienced mixed impacts on their GDP growth.

3. Japan, Singapore, and Taiwan have all:

a. had success with import substitution policy.

b. imitated South Korea's export-led growth policy and failed.

c. imitated South Korea's import substitution policy and failed.

d. had success with export-led growth policy.

4. Successful export-led growth policy entails:

a. choosing the "right" industries to invest in.

b. blocking the "right" industries from importing to domestic markets.

c. choosing the "right" incentives to encourage exports.

d. choosing the "right" disincentives to reduce imports.

5. When governments choose to favor some industries over others, they undertake:

a. industrial espionage.

b. corporate growth policy.

c. corporate pricing policy.

d. industrial policy.

In two short paragraphs, explain why the process of industrialization is called a revolution, and summarize the effects of industrialization on the people of the era.

Use the following information to answer questions 1-4.

You have achieved a dream job working for the Toledo Mud Hens. You estimate the demand for general admission tickets as follows.

The marginal cost of selling a ticket is $2. Other fixed costs per game equal $5000. Finally, the seating capacity is 9000.

Question 1 (0.5 points)

What is the profit maximizing price?

Question 1 options:

Question 2 (0.5 points)

What is the total cost at the profit maximizing price?

Question 2 options:

Question 3 (0.5 points)

Saved

What is the profit at the profit maximizing price?

Question 3 options:

Question 4 (0.5 points)

Suppose some new seats are added to the stadium (ignore the cost of adding these seats for the purpose of this question), and hence the capacity increases to 10000. With this new seating capacity, what price do you recommend?

Question 4 options:

• 1. Rising inflation causes quantity demanded to​ decline, because​ ________.
  • households and businesses are reluctant to spend when prices rise
  • higher inflation causes the IS curve to shift to the left
  • the central bank raises the nominal interest rate by more than the increase in expected inflation
  • all of the above
  • none of the above

• 2. Based on the expectations - augmented Phillips​ curve, if the natural rate of unemployment is​ 0.06, and if the actual inflation rate exceeds the expected inflation​ rate, then the unemployment rate is
  • more than 0.06.
  • less than 0.06
  • 0.06.
  • 0.06 plus 0.5 times the difference between actual and expected inflation.

• 3. The aggregate demand curve shifts to the left when there is​ ________.
  • autonomous tightening of monetary policy
  • an increase in the nominal interest rate
  • an increase in inflation
  • all of the above
  • none of the above

• 4. In the long run​ ________.
  • there is enough time for prices to fully adjust so the classical dichotomy holds
  • the amount of output an economy can produce is determined by real variables like​ capital, labor and technological advance
  • aggregate supply is fixed at the potential level of output
  • all of the above
  • none of the above

• 5. The aggregate demand curve shifts to the right when there is​ ________.
  • a decrease in the nominal interest rate
  • a negative price shock
  • a decrease in inflation
  • all of the above
  • none of the above

• 6. If the natural rate of unemployment declines​ ________.
  • labor is more heavily utilized
  • potential output increases
  • the long run aggregate supply curve shifts to the right
  • all of the above
  • none of the above

• 7. The short-run Phillips curve is the relation between inflation and unemployment that holds for a given natural rate of unemployment and a
  • given expected level of unemployment.
  • given rate of inflation.
  • given expected rate of inflation.
  • given level of unemployment

• 8. In the long run, following a combination of a negative demand shock and a temporary negative supply shock, ________.
  • both inflation and output return to the original long−run equilibrium values
  • inflation is permanently reduced, while output returns to potential output
  • output returns to potential output, while inflation may be higher or lower than its initial value
  • inflation is permanently increased, while output returns to potential output
  • none of the above

please answer all of these.

At least three times a day during this week, perform an S-O-R black box analysis on yourself. Observe what you are doing (especially in terms of the products and services you are using or purchasing). Identify the role of the stimuli and organismic background factors in influencing these behaviors and decisions.

Fiscal Policy Response:

Student must recommend the Federal Government use Expansionary Mode of Fiscal Policy to deal with the Recession. The student must recommend several specific items for the government to increase its spending in order to inject money into markets and get businesses spending money, as well as putting labor back to work to put money in their pockets to spend as well. Additionally, student must recommend the government LOWER PERSONAL AND BUSINESS INCOME TAXES. This will make both Consumer and Gross Private Domestic Investment Spending INCREASE. As three parts of total spending increase, AD shifts to the right, real GDP increases, which causes unemployment to decrease. If these work as stated, the economy will move into recovery in the business cycle.

Consider the market for aluminum containers. Describe the outcome in the market for the following events. Answer the following questions:

Does supply or demand increase or decrease?

Does market price increase, decrease, remain unchanged or is it undetermined?

Does the market quantity bought and sold increase, decrease, remain unchanged or is it undetermined?

“Changes in government regulations restrict the use of aluminum containers in the food manufacturing industry. At the same time [i.e. simultaneous to the regulatory change], new production technology has reduced the cost of manufacturing aluminum containers.”

What is job analysis? Explain comprehensively the job analysis method.

What is the relationship between the price level and the level of output in the long run?

1. When the price level rises, output decreases.
2. The relationship depends on how quickly producers respond to changes in prices.
3. There is no relationship between the price level and the level of output.

In the short run, what happens to the level of output when the government increases its spending?

1. Aggregate demand shifts inward, decreasing the equilibrium level of output.
2. Aggregate demand shifts outward, increasing the equilibrium level of output.
3. Aggregate demand shifts inward, increasing the equilibrium level of output.

What is the long-run effect of increasing output beyond the full-employment level?

1. Prices and wages rise, and the level of output falls.
2. Prices and wages rise, and the level of output remains unchanged.
3. Prices, wages, and the level of output decrease.

Are men and women inherently different, or are they essentially the same, through society teaches us to be different from each other?

Suppose an economy is Initially in equilibrium at potential GDP, Y*. Then the government decreases the net tax​ rate (t).

1. Briefly explain in words (1-2 sentences without a diagram) What type of gap would be caused by this policy AND the impact​ on real GDP and the price level in the short-run.

2. Briefly explain in words (1-2 sentences with no diagram) how the economy adjusts back to the long​ run equilibrium if left alone and no further fiscal or monetary policy is used.

3. In going from the short run equilibrium to the long-run equilibrium, briefly explain (1 sentence) how the composition of real GDP may have changed.

4. Briefly explain what the difference in the growth rate of potential GDP might occur If instead of a decrease in the net tax​ rate, there was an increase in government purchases (1 sentence).

5. Briefly explain (1-2 sentences without a diagram) what the “Money Neutrality” argument implies about the effectiveness of discretionary fiscal policy and the impact on potential real GDP and price level in the long run.

When the USA experienced high inflation in the 1970s, Canada also experienced high inflation. Indeed, Canada was said to have “imported inflation” from the USA. If Canada’s exports to the USA were high, Canada’s foreign exchange reserves would have increased. Since exports create jobs, how could Canada have imported inflation from the USA?

1. Consider the money market. In conducting monetary policy the Bank of Canada arranges the purchase and sale of Government of Canada securities with the chartered banks.
   1. Show changes (with a + or – sign) to the assets and liabilities of the Bank of Canada and the Chartered Banks if the Bank of Canada sells $50 million in securities to the chartered banks.

2. Briefly explain in words (1-2 sentences and with no diagram) whether this is an example of expansionary or contractionary monetary policy AND how this sale of securities in a) will change the money supply and the equilibrium interest rate.

3. Briefly explain in words (1-2 sentences with no diagram) what type of short-run “gap” the sale of securities would be used to eliminate AND what the impact of this monetary policy would be on the equilibrium real GDP and the price level.

4. Assuming this is an open economy with international capital​ mobility, briefly explain (1-2 sentences with no diagram) the second part to the monetary transmission mechanism as a result of the monetary policy described in b) above.

5. Briefly explain (in 2 sentences with no diagram) the Keynesian and Monetarists debate about the effectiveness of monetary policy as a tool to stimulate growth and the assumptions about the demand for money curve and the investment demand curve held by each.

What is the difference between monetary and fiscal policy?