from others ( I will rate positive if is is different and good
explanation )
- Please Explain Everything And I Need Different Answer From Others I Will Rate Positive If Is Is Different And Good Exp 1 (148.41 KiB) Viewed 26 times
Please explain everything and I need different answer from others ( I will rate positive if is is different and good exp
-
answerhappygod
- Site Admin
- Posts: 899604
- Joined: Mon Aug 02, 2021 8:13 am
Please explain everything and I need different answer from others ( I will rate positive if is is different and good exp
Please explain everything and I need different answer
from others ( I will rate positive if is is different and good
explanation )
2. Consider the following figure on historical unemployment rates in the US since 2005. Figure 1: Unemployment Rate (%) in the US: 2005-2013 11 Unemployment Rate (%) 10 9.9% 9 8.3% 8.2% ARRA Feb'09 7.8% 8 6.9% 7 6 Lehman, AIG Collapse Sep'08 Average Unemployment Rate 2005-2007: 5% 5 4 명 May-05 Jan-09 May-09 Sep-09 Jan-10 May-10 Sep-10 Jan-11 May. Sep-11 Jan-12 May-12 Sep-12 Jan-13 Notes: Quarterly, Seasonally Adjusted Figures. ARRA - American Recovery and Reinvestment Act (ARRA): This was an expansionary fiscal and monetary stimulus package to boost the US economy after the Global Financial Crisis. Source: Compiled from Federal Reserve Economic Data and Bureau of Labor Statistics. The US Government/Fed has undertaken highly expansionary monetary and fiscal policies since the 2008 financial crisis. Referring to Figure-1 above, if you are a Keynesian economist, you will argue that the reduction in unemployment rates from about a peak of 10 percent in Oct-2009 to just above 8 percent in Jan-2012 has been a result of the stimulus packages. How would you show this in an AS-AD framework? If you are a Classical economist, you would look at the same data and argue that the reduction in the unemployment rate had nothing to with stabilization policies and instead the economic recovery was because of an automatic mechanism. How will you show this in an AS-AD framework? Draw separate diagrams for both cases and explain your answer. Bonus point: Can you use your understanding of the types of unemployment to explain the reduction in unemployment that you can observe in the data provided in Figure 1?
from others ( I will rate positive if is is different and good
explanation )
2. Consider the following figure on historical unemployment rates in the US since 2005. Figure 1: Unemployment Rate (%) in the US: 2005-2013 11 Unemployment Rate (%) 10 9.9% 9 8.3% 8.2% ARRA Feb'09 7.8% 8 6.9% 7 6 Lehman, AIG Collapse Sep'08 Average Unemployment Rate 2005-2007: 5% 5 4 명 May-05 Jan-09 May-09 Sep-09 Jan-10 May-10 Sep-10 Jan-11 May. Sep-11 Jan-12 May-12 Sep-12 Jan-13 Notes: Quarterly, Seasonally Adjusted Figures. ARRA - American Recovery and Reinvestment Act (ARRA): This was an expansionary fiscal and monetary stimulus package to boost the US economy after the Global Financial Crisis. Source: Compiled from Federal Reserve Economic Data and Bureau of Labor Statistics. The US Government/Fed has undertaken highly expansionary monetary and fiscal policies since the 2008 financial crisis. Referring to Figure-1 above, if you are a Keynesian economist, you will argue that the reduction in unemployment rates from about a peak of 10 percent in Oct-2009 to just above 8 percent in Jan-2012 has been a result of the stimulus packages. How would you show this in an AS-AD framework? If you are a Classical economist, you would look at the same data and argue that the reduction in the unemployment rate had nothing to with stabilization policies and instead the economic recovery was because of an automatic mechanism. How will you show this in an AS-AD framework? Draw separate diagrams for both cases and explain your answer. Bonus point: Can you use your understanding of the types of unemployment to explain the reduction in unemployment that you can observe in the data provided in Figure 1?
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!