Macro economics important assingments - Assignment Example

Download file to see previous pages If the borrowing is made long term it will ease or reduce inflation in the economy of Ghana. The government of Ghana opted to sell the long term bonds in order to get funds for the infrastructure. In 2012 the fiscal deficit of this country increased to 12% of the GDP hence pushed interest rates up. Due to this situation it has been focused that the interest rates will remain high and there will be more transaction of long term bonds (Melvin & Boyes, pp.149) In general to stabilize the economy of this country, a few things need to be done. From the article, it is well spelt out that the Ghana investors are highly attracted to long term bonds. Selling of Long term bonds with high interest is a central bank initiative to control circulation of money and to reduce inflation. In the short run, borrowings have led the state into public debts and increased inflation. The government therefore, sells bonds on long term to invest in infrastructure that can service government debts and reduce the economies deficit. To ensure stability, the bonds should be sold in a long term and not on short term as many firms may take loans and fail to pay them in time hence creating debts. Therefore, long term bonds should be sold at high interest to reduce inflation and stabilize the money markets. ...
There has been decrease in demand of grilled meat as change of weather is unbearable. For this reason consumers have resorted to other alternatives. Reaction: as there has been a fall for demand of barbecue cuts, there have been opting for things like slower cookers and crock pots. In the market the supply of grilled meat has increased as the demand for them has gone low forcing the prices to fall. The lowering of prices is to attract consumers as there is no enough demand to meet the supply. The sales department is therefore forced to export the barbecue products to overseas to meet the dispose of the surplus. It can be derived from the reaction that that change of the season to winter has led to the changes in demand. Most of the consumers prefer to stay in orders than to go to the grill to purchase meat. This in turn decreases its demand automatically and the supply increases. Compared to other meat like chucks and blade the grill meet has changed in its demand. Therefore, the government opts for other forms of meet as there demand has been maintained. There supply should therefore be increased to compensate for the gap that might have been created by the grill meat (Melvin & Boyes, pp.52) Assignment three Article: http://articles.washingtonpost.com/2013-04-05/opinions/38300337_1_minimum-wage-fair-labor-standards-act-workers Position: I agree that Stevenson’s assumptions of minimum wage that minimum wage takes care of everyone. The minimum wage always remain the same unless change by the government. If the minimum wage is increased the unemployment increases. The minimum wage cuts across everyone but they vary depending on the terms of employment. The government ...Download file to see next pages Read More