Category: Macroeconomics

For the benefit of the incoming administration, I submit this report to document, analyze, and interpret the macroeconomic policy decisions I made as the chief economic policy advisor of Econland. The purpose of this document is to further our national prosperity by deepening our understanding of the relationship between macroeconomic policies and their consequences for…

Walmart, one of the worlds largest retailers, owns sub-brands that manufacture products of different categories. Equate is a sub-brand that produces pharmaceuticals and cosmetic goods. Due to its affordable price and quality, Equate has stable sales of various drugs, but Ibuprofen may be considered one of the most popular medications among the population (Equate Ibuprofen…

I learned from the video that the world needs to keep pushing forward to financial inclusion. Currently, over 2 billion people are either unbanked or underbanked  people outside of the banking systems and people who cannot access the full scope of opportunities these systems offer (TED, 2021). In other words, governments should move towards…

The paradigm of macroeconomics, and the notions of aggregate supply and demand, in particular, serve as the drivers for the emergence of specific economic trends, competition in the market, and pricing patterns. However, when considering the fact that the aggregate demand and supply usually focus on the average supply curve and customers demand for a…

Introduction The success of any states economy in 21st-century economies largely depends on the stable macro and microeconomics status of financial and stock markets. Macroeconomic studies focus on the productivity of the general economy in relation to money systems, performance, financial structures and the behaviour of financial markets. Due to globalization and technological advancements, the…

Introduction Germany is a country that has a long history and has always been at the forefront of global economic development. At the same time, in the 1990s, Germanys economy encountered a downturn which gave the country the name The Sick Man of Europe (Notermans & Piattoni, 2021). Still, Germany was able to overcome all…

Explain the concept of the Balance of Payments (BoP), and how it relates to the foreign exchange (forex) market under a floating rate and a so-called fixed exchange rate. How does the latter regime cause problems for the Chinese economy? The balance of payment indicates all the transactions of a given country with the rest…

Brief summary of article Global downturn aftershocks are to blame for the economic situation in the USA as far as economic growth and employment is concerned. The shocks have culminated into higher unemployment rates for a long period. The government is proposing the use of fiscal policies to create employment to those individuals who are…

What, if anything, does the Employment/Population (E/P) profile for the United States from 2007 to 2012 tell you about short-run economic growth over that period? The rise in the unemployment rate in the United States after the economic recession of 2007-2009 was severe and unprecedented. During this period, the unemployment rate rose from a low…

Explain how a basic analysis of the money market underpins the derivation of the LM curve The LM curve is derived from the money market equilibrium. It shows the range of values of interest rates, I, which when combined with the outputs, Y, give an equilibrium money market. The interest rate, I, can be interpreted…