Globalisation and Transnational Companies
Globalisation from an economic perspective is the ever increasing integration of the worlds local,
regional and national economies into a single market. This single market will behave just as a regular
economy wit
12) Balance of Payments
Balance of Payments
The balance of payments of any country records the receipts and payments from all economic
transactions between a country and the rest of the world in a certain time period.
Current Account
Current Account
The c
13) Foreign Exchange
Exchange Rate
The amount of domestic currency that is exchanged for one unit of foreign currency
Supply and Demand of Currency
Demand
Pay for purchase of imported goods and services
Invest in other countries
Supply
Sale of exports
Pur
EC220 Problem Set 6
Lei Sun
201555121
1. (a) From the table above, we could clearly see that the coefficients of college and female havent changed a lot after adding the new variable: age
as well as the broad regions. With or without the control of age, o
Economics 315 International Macroeconomics
Lecture 5: The Monetary Model
Dr. Keyu Jin
London School of Economics
Introduction
Question: what determines nominal exchange rates?
Partial answer: PPP holds E = P /P
But what determines P?
Introduce money
Chapter 9. Differential Equations
9.1. Introduction to Differential Equations
Sometimes the mathematical formulation of a problem involves an equation in which a quantity and the rate of
change of that quantity are related by an equation. Since rates of c
9.3. First-order Separable Differential Equations
Many useful differential equations can be formally rewritten so that all the terms containing the independent
variable appear on one side of the equation and all the terms containing the dependent variable
9.5. First-order Linear Differential Equations (Method of integrating Factors)
Unlike other cases of first-order differential equations, we can actually derive a formula for a general solution to
first-order linear differential equations. However, I stron
9.2. Direction Fields (or Slope Fields)
Certain differential equations, including many that arise in practical applications, cannot be solved analytically.
Without actually solving a first-order differential equation, we can have some graphical informatio
Demand
Quantity demanded (Qd)
Amount of a good or service consumers are
willing & able to purchase during a given
period of time
2-1
Definitions
Demand function
Quantity demand as a function of the independent
variables that influence the quantity dem
Introduction to Managerial Economics
Managerial economics is the science of directing scarce resources to manage cost
effectively.
Definition:
1. Managerial Economics is the use of economic modes of thought to analyse
business solutions, McNair and Meriam
Lecture 1: Demand
Learning Objectives on Demand
Define the demand curve
List the main factors that determine market demand.
List the factors that are held constant along a market demand curve
Explain the wealth effect and the substitution effect
Know the
9) Inflation
Inflation
Inflation can be defined as a situation where there is a sustained and inordinate increase in the
general price level.
Sustained: Price increase must last for a reasonable period of time
Inordinate: increase must be excessive by tha
8) Unemployment
Unemployed
The unemployed refers to people in the working age population who are available for work and are
actively looking for a job but cannot find a job.
Unemployment Rate
The percentage of unemployed persons to the labour force
Types
What is causing poverty in East Africa and India and how effective is our foreign
aid and the help of NGOs at reducing poverty in these countries?
Why poverty? I have continually become more and more fascinated by the topic of poverty due
to the fact that
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Dr
Appropriation account
Cr
Interest expense
Cr
Cash at bank
Cr
Disposal
Cr
Accumulated Depreciation
Cr
Disposal
Cr
9000
Capital Account: Martin
Capital Account: Ross
5250
3750
1500
Interest payable
1500
220
Dispo
Income Statement
Sales
(less sales returns)
Interest recieved
Total Revenue
Distribution expenses
Bad debts
Provision for doubtful debts
Wages and Salaries
Rent, rates and insurance
Fixtures and fittings
Accrued expenses
Heat and light
General expenses
De
The forces of demand and supply affect the. This is a floating exchange rate. We can also
get fixed exchange rates where a certain amount of pounds will guarantee a certain
amount of US exchange rate policy dollars in return.
Influence the exchange rate:
The Balance of Payments
Exchange rate systems
The balance of payments is a record of all financial dealings over a period of time between economic agents of one
country and all other countries. It is split into two components the current account, where pa
FP2 questions from old P4, P5, P6 and FP1, FP2, FP3 papers (back to June 2002)
The following pages contain questions from past papers which could conceivably appear on
Edexcels new FP2 papers from June 2009 onwards.
Mark schemes are available on a separat
H1 Economics Notes (Summary)
1) Introduction to Economics
Central Economic Problem (Scarcity)
Humans have unlimited wants but limited resources to fulfil these wants with.
Scarcity of resources results in a need to choose
Opportunity Cost
Opportunity cost
2) Price Determination in Product Markets
Assumption: Markets are Perfectly Competitive
Meaning:
1) The goods being offered for sale are all the same
2) No single buyer or seller can influence the market price
Demand
The willingness and ability of a consu
3) Elasticities of Demand and Supply
Price Elasticity of Demand
A measure of the degree of responsiveness of quantity demanded of a good to a change in its price,
ceteris paribus
Price Elasticity of Demand (PED)=
changequantity demanded
change price
Condi
4) Demand, Supply and Government Policies
Consumer Surplus
Consumer surplus is the difference between the maximum price a consumer is willing to pay and the
price that he actually pays.
Producer Surplus
Producer surplus is the difference between the minim
7) National Income Statistics
Gross Domestic Product
Gross domestic product is the total monetary value of all final goods and services produced within an
economy, regardless of whether the resources are owned by its residents or foreigners, before
deduct
6) Income and Employment Determination
Aggregate Demand
The Aggregate Demand is the total quantity of goods and services demanded in the economy by the
four sectors Household, firms, government and trade sectors. It consists of four components:
Consumptio
Managerial Economics
Introduction, Basic Principles and
Methodology
The central themes of Managerial Economics:
1. Identify problems and opportunities
2. Analyzing alternatives from which choices
can be made
3. Making choices that are best from the
standp