ANSWER_KEY_FINAL_Assignment[1] - Unit9[BU204|Macroeconomics...

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Unit 9 [ BU204 | Macroeconomics ] Final Assignment (due Tuesday at midnight at the end of week 9) Total possible points = 225 General Instructions: 1. Your assignment should have a cover sheet with the following information: a. your name; b. the course number; c. the section number; and, d. the date, 2. Copy and paste the questions into your paper. 3. Copy and paste the appropriate graphs into your work, then add whatever arrows, or other indicators that you feel are necessary to illustrate your analysis. 4. Your answers should follow the APA format by being in double spaced paragraph format, with citations to your sources and, at the bottom of your last page, a list of references). You answers should also be in Standard English with correct spelling and punctuation, grammar and style. 5. Unless specified differently by your instructor, your completed assignment should be saved with the following file name format: course number, an underscore, Section number, an underscore, your LAST name, underscore, your FIRST name, an underscore, and the word “final”. It will look like this: BU204_xx _LAST_FIRST_final (where the “xx” is the section number). 6. Respond to the questions in a thorough manner, providing specific examples of concepts, topics, definitions and other elements asked for in the questions. Your paper should be highly organized, logical and focused. 7. Maximum grade on format (total 15 points): 3 points = correct filename 3 points = correct APA format for answers (coversheet with name, course number, section number, Unit number, date, answers double spaced, in Times Roman black 12 point font) 3 points = correct citations within answers 3 points = Standard English with no spelling or punctuation errors 3 points = correct references at the bottom of the last page. -------------------------------------------------------------------------------------------------------------------- - Questions: 1
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Unit 9 [ BU204 | Macroeconomics ] 1. Define any key terms used in answering the following question as they are defined in the textbook and explain, in your own words what those definitions mean (5 points), and then thoroughly analyzes each situation to answer the following questions Use the diagrams below, resizing them as necessary, to illustrate your analysis in explaining what happens to private savings, private investment spending, and the rate of interest if the following events occur. Assume the economy is closed. A. The government reduces the size of its deficit to zero (10 points). 1. The Government is one of TWO borrowers who demand loanable funds. The other borrower are private businesses wishing to borrow money to fund investments (like new machines, buildings, vehicles, etc.) that will generate sufficient profit to have a rate of return greater than the interest rate that is the cost of borrowing. The starting situation is initial equilibrium at E1 with combined government and private business borrowing, in equilibrium with private savings
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ANSWER_KEY_FINAL_Assignment[1] - Unit9[BU204|Macroeconomics...

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