Student Name: ___________________________
Student ID: ______________________
Group: _________________________
 
This assignment covers the following topics:
·              Inflation – Topic 5
·              Unemployment – Topic 6
 MACROECONOMICS 1 (ECON1246 / ECON1273) assignment 代写


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·  This assessment contributes 15% of the overall marks for the course.
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Study the following data for the economy of Universal. It is to be used to answer Question 1.

	2013	2014	2015
Nominal Gross Domestic Product ($ millions)	1,500,000	1,575,600	1,646,200
GDP deflator	100	101.0	107.0
Index of consumer confidence	95	115	80
Index of business confidence	85	110	90
Unemployment rate (%)		2.5	6.5
Natural rate of unemployment (%)		4.0	5.0
Index of production costs	100	100.5	107.6
Worker productivity (% change)	-	2.0	1.0

 
Question 1                                                                  (7 marks)
 
(a) Identify the phase of the business cycle for Universal in 2015.  Explain identifying two reasons for your answer.
 
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(b)    Explain the type of unemployment that increased in 2015?
 
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(c)   What was the likely cause of inflation in 2015? Explain giving 2 reasons for your answer.
 
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(2 + 2 + 3 = 7 marks)
 

Question 2
 
The Japanese economy has experienced periods of deflation since 1990. 
What is deflation and why is it a concern for economies at times of low Real GDP growth or recession?                                                                       (3 marks)
 
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(1 + 2 = 3 marks)
 
Question 3                                                                  (5 marks)
 
(a)    Identify and explain two reasons for a declining labour-force participation rate (LFPR) in an economy.
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(b)    Why is a declining labour-force participation rate (LFPR) a concern for an economy?
 
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(c)    Explain two decisions or policies the government can implement to increase the LFPR.
 
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(1 + 2 + 2 = 5 marks)
 

MACROECONOMICS 1 (ECON1246 / ECON1273) assignment 代写