ECN 101 Intermediate Macroeconomic Theory | Winter 2014
Problem Set #3: Capital Formation, Labor Markets and Ination Adj.
Revised: January 30, 2014
Due: beginning of class Tuesday February 11, 2014
1. (20 points) Recovering from war in Solows model
Econ 101 Problem Set 3
Y is output, total production in a country, usually measured by real GDP.
A is total factor productivity (TFP), a measure of how effectively inputs are used to produce
K is the
ECN101 Problem Set 6
ECN101 Problem Set 5
Part A: Tax cuts are fiscal policy, not monetary policy and do not directly rise or lower interest
rates. It does however inject more money into the economy allowing for increases in output.
Econ 101 Problem Set 4
Problem 1: Cyclical Business
Part A: Machine Tools are a durable good and are very cyclical.
Part B: Grocery Stores are a nondurable good and are slightly cyclical.
Part C: Family Practice Medicine is a