Macroeconomics AssignmentSemester 2, 2019Business Economics BUECO5903Prepared by Alex Millmow(Course Coordinator)Checked by Anita Doraisami(Moderator)Instructions for Candidates:1.Choose any five (5) of the following eight (8) questions;2.Each question is worth ten (10) marks;3.This assignment comprises 10 per cent of total assessment;4.Please type your assignment;5.All diagrams and direct quotations must be referenced asper the course description specified method.6.Please use the numbering system as provided on thisdocument to identify the questions.
Question 1:Consider a macroeconomy was initially at equilibrium. Using an aggregatedemand and aggregate supply diagram model of the economy, graphicallyillustrate and discuss the short-run and long-run effects of the following eventsupon the economy:(a) The imposition of a carbon tax upon local big pollutingcompanies.(b) An appreciation in the foreign exchange rate value of theeconomy’s currency.(c) The European economies all fall into recession(d) The country’s main exports fall in price while the goods the