Compare and contrast the three types of unemployment, (frictional, structural, and cyclical).

IS: Sexton, R. L. (2013). Exploring Economics (6th ed.). South-Western Cengage Learning.

 

 

 

  1. Compare and contrast the three types of unemployment, (frictional, structural, and cyclical).  If you were a policy maker which type of unemployment would be most bothersome to you?
  2. What costs are associated with inflation?  Explain at least 3 different costs that individuals or businesses experience when inflation rises.
  3. Explain why transfer payments are not included in GDP.

 

4.     Using the components of GDP covered in section 22.1 of your text, explain which component would be affected by the following (only one component should be chosen for each scenario):

 

a.  You buy an Italian purse.

 

b.  You buy a new house.

 

c.  New lanes are added to Interstate 40.

 

d.  You buy groceries.

 

e.  You buy a new washer and dryer.

 

5. Suppose the economy is at a macroeconomic equilibrium as is shown in section 25.6 of the text.  The government decides to give every taxpayer a $500 tax refund.

 

a.  What happens to the aggregate demand curve after the refund?

 

b.  What happens to the price level after this change?

 

c.  Is real wealth increased or decreased as a result of the refund?

 

 

 

6. Review Section 22.7 in your text.  Compare and contrast the results of the Classical Model and the Keynesian model after an expansionary policy.  Keep in mind that the economy is in a recession and not at full employment.  Address the following:

 

a.  The shape of the aggregate supply curve in each model in both the long-run and short-run.

 

b.  The effect of an expansionary policy on aggregate demand in both the long-run and short-run.

 

c.  The effect of an expansionary policy on the price level in both the long-run and short-run.

 

Type of paper Academic level Subject area
Number of pages Paper urgency Cost per page:
 Total:

Last Completed Projects

# topic title discipline academic level pages delivered
6
Writer's choice
Business
University
2
1 hour 32 min
7
Wise Approach to
Philosophy
College
2
2 hours 19 min
8
1980's and 1990
History
College
3
2 hours 20 min
9
pick the best topic
Finance
School
2
2 hours 27 min
10
finance for leisure
Finance
University
12
2 hours 36 min