ECON+131+F-10+final

ECON+131+F-10+final - AD/AS model Business Cycle (including...

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AD/AS model Business Cycle (including the 4 parts) Ceteris paribus Consumer Price Index (CPI) and how to use it to compare “real dollar” amounts Crowding Out (G borrowing crowds out private borrowing because it can offer higher and higher interest rates) Employment (labor force definition, types of unemployment, “jobs” vs. “employed”, discouraged/ underemployed workers, what groups have higher unemployment rates? Why do the stats not tell the whole story?) Equilibrium GDP can be found when (1) total spending = total income; (2) leakages = injections; (3) inventories neither increase nor decrease Federal Reserve (who’s current chair? How long is his term? How many directors on the Board of Governors? How long are their terms? How do you get to be one?) Fiscal Policy (discretionary, automatic stabilizers), how it works Foreign Exchange (appreciate/depreciate currency; why would a country deliberately undervalue/overvalue its currency?) GDP (what it is, components, how to calculate from expenditure approach, problems in
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This note was uploaded on 05/09/2011 for the course ECON 131 taught by Professor King during the Spring '11 term at Highland CC.

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ECON+131+F-10+final - AD/AS model Business Cycle (including...

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