1
ECMA06 The AS-AD Model in the Long Run
The AS-AD Model in the Long Run & Bringing Money
into the Model
Outline
Discuss how wages enter the AD-AS model.
Discuss the adjustment mechanism from the short run to the
long run.
Discuss how the economy will cor
CHAPTER 7
Measuring Domestic Output
and National Income
A. Short-Answer, Essays, and Problems
1. Of what use is national income accounting to economists and to policy makers?
2. Define GDP and its characteristics.
3. What is the definition of GDP? How wou
ECMA06H
The April-May Exam
Time: 3 hours
INSTRUCTIONS
1. Remove this page. The exam is underneath. This exam consists of 11 numbered pages. Please check to make
sure you have all the pages.
2. Please fill in your name and student number on the answer book
ECMA06 Tutorial #1 Answer Key
Question 1
Part (a)
Base year = 2004.
Consumer price index (CPI):
To compute the CPI, we use the base year bundle, i.e., the 2004 bundle, and current year price.
Cost of bundlet =
P
i, t
Q i, base year , where i = food, clo
University of Toronto Scarborough
Department of Management
ECMA06 LEC 01 & LEC 60
Introduction to Macroeconomics:
A Mathematical Approach
SUPPLEMENTARY READINGS
SUPPLEMENT A: UNEMPLOYMENT AND INFLATION: HOW DO WE MEASURE
THEM?
SUPPLEMENT B: MEASURING THE
WEEK 7
Topics: Is there a long run equilibrium? The long run AS curve. The long run adjustment
mechanism. Asymmetry when there is a deflationary or inflationary gap.
The need to introduce the interest rate and the exchange rate into the model. Defining mo
STUDY QUESTIONS
WEEKS 1 & 2
Week 1
Topics: Introduction to macroeconomics. Unemployment and inflation; how are they measured
(including both CPI and GDP deflator), and in what ways are they harmful? GDP, Potential
GDP, and the business cycle. The NAIRU.
R
University of Toronto Scarborough
ECMA06 Introduction to Macroeconomics:
A Mathematical Approach
Midterm Detailed Solutions, Winter 2009
Version A
Question 1
In the past decade, the labour force participation rate in Canada is approximately equal to:
A) 9
University of Toronto Scarborough
ECMA06 Introduction to Macroeconomics:
A Mathematical Approach
Midterm, Winter 2009
Version A
Instructor:
Iris Au
Date & Time:
Saturday, February 28, 2009, 5:00pm 6:30pm
Total Marks:
100 (each question is worth 4 marks)
T
ECMA06H
First Term Test - February 27, 2008
Prof. Michael Krashinsky
Time: 90 minutes
Version A
Instructions: PLEASE READ CAREFULLY
1. On the Scantron answer sheet, you must
PRINT your last name and first name
Enter your student number as the identificati
ECMA06H
First Term Test - February 12, 2007
Time: 90
minutes
Profs. Michael Krashinsky and Walid Hejazi
Version A
Instructions: PLEASE READ CAREFULLY
1. On the Scantron answer sheet, you must
PRINT your last name and first name
enter your student number
ECMA06H
The Final Exam
April 11, 2005
Time: 3 hours
INSTRUCTIONS
1. Remove this page. The exam is underneath. This exam consists of 13 numbered pages. Please check to make
sure you have all the pages.
2. Please fill in your name and student number on the
ECMA06H
The Final Exam
April 17, 2006
Time: 3 hours
INSTRUCTIONS
1. Remove this page. The exam is underneath. This exam consists of 14 numbered pages. Please check to make
sure you have all the pages.
2. Please fill in your name and student number on the
University of Toronto Scarborough
ECMA06 Introduction to Macroeconomics:
A Mathematical Approach
Midterm, Winter 2009
Version A
Instructor:
Iris Au
Date & Time:
Saturday, February 28, 2009, 5:00pm 6:30pm
Total Marks:
100 (each question is worth 4 marks)
T
ECMA06H
Second Term Test - March 17, 2006
Profs. Michael Krashinsky and Walid Hejazi
PRINT CLEARLY
NAME:
Time: 90 minutes
_ _
(Last name)
(First name)
STUDENT NUMBER:
_
TUTORIAL TIME:
_
(Write down the time and day of the tutorial you regularly attend)
DE
ECMA06H
Second Term Test March 12, 2004
Time:100
minutes
Profs. Michael Krashinsky and Gordon Cleveland
PRINT CLEARLY
NAME:
_
_
(Last name)
_
_
(First
name)
STUDENT NUMBER:
_
TUTORIAL TIME:
_
(Write down the time and day of the tutorial you regularly atte
ECMA06S
First Term Test - February 7, 2004
Profs. Michael Krashinsky and Gordon Cleveland
PRINT CLEARLY
NAME:
Time: 90 minutes
_ _
(Last name)
(First name)
STUDENT NUMBER:
_
TUTORIAL TIME:
_
(Write down the time and day of the tutorial you regularly atten
University of Toronto Scarborough
ECMA06 Introduction to Macroeconomics: A Mathematical Approach
Final Exam, Winter 2009
Version A
Professor:
Iris Au
Date & Time:
Thursday, April 16, 2009, 7:00pm 9:30pm
Total Marks:
100
Total # of pages (including the cov
ECMA06H
The Final Exam
April 14, 2008
Time: 3 hours
Professor Michael Krashinsky
THIS IS VERSION A OF THE EXAM - MAKE SURE TO INDICATE
THIS VERSION ON YOUR SCANTRON SHEET, AND ON YOUR
ANSWER BOOKLET, BOTH WHICH ARE TO BE TURNED IN AT
THE END OF THE EXAM.
ECMA06H
The Final Exam
April 16, 2007
Time: 3 hours
Professors Krashinsky and Hejazi
THIS IS VERSION A OF THE EXAM - MAKE SURE TO INDICATE
THIS VERSION ON YOUR SCANTRON SHEET, AND ON YOUR
ANSWER BOOKLET, BOTH WHICH ARE TO BE TURNED IN AT
THE END OF THE EX
1
ECMA06 Open Economy (Part 2)
Open Economy (Part 2)
Please complete the course evaluation on Intranet, I value
your feedback!
Outline
A brief review of what we have learned for an open
economy.
Discuss the effectiveness of monetary and fiscal policies
un
1
ECMA06 Open Economy (Part 1)
Open Economy (Part 1)
Outline
What is the foreign exchange market?
Discuss factors that affect demand for and supply of a
countrys currency.
Use of the demand and supply curves of C$ in the foreign
exchange market to determi
1
ECMA06 Stabilization Policy & The Introduction of Open Economy
Stabilization Policy & The Introduction of Open Economy
Outline
Discuss the effectiveness of monetary policy in affecting
output.
Compare how fiscal & monetary policies affect AD.
Use of fis
University of Toronto Scarborough
Department of Management
ECMA06 LEC 01 & LEC 60
Introduction to Macroeconomics:
A Mathematical Approach
TUTORIAL QUESTIONS
Tutorials are scheduled on different days during the week for different students.
Tutorial questio
ECMA06 Tutorial #11 Answer Key
Question 1
Part (a)
Demand for Canadian dollars (C$) in the foreign exchange market it arises when foreigners
purchases stuffs from us because foreigners living outside Canada tens not to have C$ and when
we sell stuffs to t