I guess I have to come out to reply to those who concern with the nature rate of unemployment First, What is the natural rate of unemployment? It is assumed to be the unemployment rate at the steady state or equilibrium. Note that equilibrium here is not referred to the common

The Multiplier Process as Market Exchange Process A Contribution to the micro Foundation of Keynesian macroeconomics Abstract Traditional equilibrium analysis has been incorrectly founded once an\ordering issue\is

I want to thank Edward Nell, David Colander, John Eatwell and Thomas Palley for their comments and suggestions on the early draft of paper Dept of Economics, Graduate Faculty, New School for Social Research, 65 Fifth Ave

Course description Macroeconomics is the most disputed, confused, yet excited field in economics. This course introduces you how economists think about those macroeconomic problems such as inflation, unemployment and recession, and how macroeconomic policies

Course Description Macroeconomics is the most disputed, confused yet excited field in economics. This course introduces you how economists think about those macroeconomic problems such as inflation, unemployment and recession, and how macroeco could be used to resolve these problems. We will find that economists may give you many different answers. Yet behind their different answers is the difference in the framework of macroeconomic analysis. The course will thus introduce you two major

Gross Domestic Product (GDP) Defintion: GDP is the total market value of all final goods and services produced by a country Final versus Intermediate By final\, we mean the goods and service that are purchased for final use by purchaser and not for resale or further processing. The meaning intermediate is opposite to final

What is economics? Normative Definition Economics is the science that studies how to efficiently allocate economic resources Positive definition economics is the science that studies how an economy operates or how economic variables are

(Continued with question 1 in exercise for chapter 3). Suppose instead of given 2000 there is an investment function which takes the form Above, i is the interest rate. Meanwhile there is a demand function for money Md=1.2Y-20000i Assume that the monetary base is equal to 2000 while the required reserve ratio is 1 ). What is the equilibrium level of output Y and interest rate?

Question 1 Suppose in an open economy the consumption function take the form C=100+0.8 Tax is the proportion of income with the tax rate to be given by 0. 2. Meanwhile import depends on the domestic income with the function given by

1. Please express the model of natural rate of unemployment according to blanchards book and then give your comments 2. How can you explain the aggregate demand and aggregate supply curves. How they are different from the usual definition on demand and supply curves