Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

Macro Econ - Assignment Example

Comments (0) Cite this document
The concept of scarcity is paramount in the study of economics, and it based on the idea that available resources are not sufficient to satisfy the needs of…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER99% of users find it useful
Macro Econ
Read TextPreview

Extract of sample "Macro Econ"

Economics will entail how the society will allocate the limited resources in order to satisfy unlimited needs of people. The concept of scar is paramount in the study of economics, and it based on the idea that available resources are not sufficient to satisfy the needs of people. Increasing demand of goods and services and limited resources makes the phenomenon f scarcity necessary in the study of economics. Economics implies that people will have unlimited wants and needs and due to the scarcity of resources, people are forced to choose the needs to satisfy first since resources are limited. Therefore, scarcity will limit individuals on the basis of limited income, manpower and natural resources, and this puts a limit to the amount of products people have at their disposal.
An economy’s income must be equal to its spending so as to ensure that there is a favorable balance of payments in the economy. For every buyer of a product there must be a seller, and this means that GDP, which is utilized in measuring the levels of expenditure and incomes must be equal. If the expenditures are more than the incomes, there is unfavorable balance of payments, and this implies that the economy is falling apart.
The GDP deflator is used to measure the tracks of all new products that are produced domestically and represents the total worth of products produced in an economy in a specific period. The GDP deflator will measure the ratio of current price GDP to the real GDP and will show how much the change in GDP from the specific year relies on the changes in prices of products. The consumer price index (CPI) is used to study the total output of the economy, and it is a cost of living indicator and measures the total cost of products purchased by consumers I a country. It helps in determining the purchasing power currency has and compares this to past years to see determine the status of the economy.
Higher savings lead to higher standards of living because savings are the chief source of capital, which is to some extent the backbone of an economy. Savings will refer to accumulated funds, and this implies that an entrepreneur can use these funds to make an investment in the future. For example, when starting up a new venture, an entrepreneur will either use their savings or borrow from various institutions so as to fund the start up. If people could consume everything and not save, it implies that there will be no funds to be used in future in the event that an investment opportunity comes up. Moreover, when an individual takes a portion of the savings to reinvest or boost his or her business it is seen as a means of utilizing savings. Therefore, savings will lead to higher standards of living because they can be used on a later date to invest in a viable opportunity, which will produce profits hence improving the living standards of the individual, business or economy involved. More savings will mean a greater pool of capital is available to produce more products, hence this improves living standards.
Marshall, Alfred. Principles of Economics, 2006. New Delhi: Osprey Publishing. Read More
Cite this document
  • APA
  • MLA
(“Macro Econ Assignment Example | Topics and Well Written Essays - 500 words”, n.d.)
Macro Econ Assignment Example | Topics and Well Written Essays - 500 words. Retrieved from
(Macro Econ Assignment Example | Topics and Well Written Essays - 500 Words)
Macro Econ Assignment Example | Topics and Well Written Essays - 500 Words.
“Macro Econ Assignment Example | Topics and Well Written Essays - 500 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document



...? The topic I choose to discuss is how prices are formed in markets of labor. The article chosen is Lockout looms over season (Coon, .The NBA and its players are in the middle of a labor negotiation for a new bargaining agreement. The owners’ position is that the price of the players is too high and it is causing them the teams to lose money. In the 2009-2010 season 12 of 30 teams lost money. This means that 40% of the NBA teams incurred in losses. The current collective bargaining agreement states that the players are entitled to 57% of the NBA global revenues. This is the formula that is in question in the negotiation for the new collective bargaining agreement. The current salary distribution formula gives the player 57... The topic I...
2 Pages(500 words)Essay

Macro Econ

...?Instructions: Unit Assignment 2 Assignment Type: Discussion Board Deliverable Length: 3–4 paragraphs Points Possible: 50 Due 5 11:59:59 PM Proponents of free market systems argue that free enterprise leads to more efficient production and better response to changing consumer preferences. Others point to the fact that markets are not perfect. Consider both viewpoints and respond to both sides of the issue with your viewpoints. In your own words, please post a response to the Discussion Board and comment on other postings. You will be graded on the quality of your postings. For assistance with your assignment, please use your text, Web resources, and all course materials. Proponents of the benefits of free markets argue... Unit Assignment 2...
1 Pages(250 words)Assignment


... Journal (2006): 723-732. Sakakibara, Mariko. "The diversity of R&D Consortia and Firm Behavior: Evidence from Japanese Data." Indus. Econ (2001): 181-183. Williamson, Dean V. Antitrust, Innovation, and Uncertain Property Rights: Some Practical Considerations. 2010. 03 June 2011 . WIPO. What is Intellectual Property? 2011. 02 June 2011 .... There has been a global integration of technology at accelerated pace in the recent times and due to this, a new set of rules has evolved which contain both the intellectual property as well as the competition. Intellectual property rights and laws are enacted primarily to deal with the patents, trade marks as well as copyrights in order to protect the technological innovation made. Competition on the...
6 Pages(1500 words)Essay


...? In a free economy, the exchange rate is floating in such a way that it is dependent upon supply and demand and there is no government intervention in the process. Exchange rate, under this classification is determined by the increase in currency value can be seen because lower inflation equates to higher demand from such country. A rise in exchange rate also happens when demand grows slower as there is little importation happening. When investors are offered higher rates, these countries will attract more capital (Baumol and Blinder 758). There is also another type of exchange rate system also known as the fixed exchange rate which is run according to the fixed rules set by the government. In this system, balance of payments... In a free...
1 Pages(250 words)Essay

Macro Econ 3

...?Question 3 A good standard of living which determines the high and growing gross domestic product, GDP is dictated by capital. Capital is one of thefactors of production and is vital for the production of goods and services. A college degree will act as capital more, so human capital since the holder will have attained skills and knowledge in the process of training and learning in school (Mankiw, 2012). The skills and knowledge attained by the degree holder will improve and increase the productivity hence the standard of living is improved as stated above. Question 5 A higher rate of saving leads to higher growth rate temporarily since, as the capital rises, leading to more productivity, it will reach some point whereby... 3 A good standard ...
3 Pages(750 words)Assignment


...? ANALYSIS OF BUSINESS PRESS ARTICLE ANALYSIS OF BUSINESS PRESS ARTICLE Introduction The European Central Bank identifies interest rates as an important determinant for financial and investment growth and sustainability. In the article therefore, Mario Draghi hints of the bank’s decision to on a short term to medium term basis revise its interest rate further down. According to the report, there is the consideration of keeping the interest rate low “but its policy makers had decided to keep the main refinancing rate on hold for the fifth consecutive month” (Steen, 2013). Among other things, the report admits the influence of high interest rates on other economic determinants such as inflation and foreign direct investment... ANALYSIS OF...
3 Pages(750 words)Assignment


... Schoenberger, Chana R. "Making Sense of Incentives for Small Firms." The Wall Street Journal 27 Novermber Inhis article, Schoenberger attempts to determine the importance of state incentives particularly to small businesses in the country in an effort to stimulate economic growth. In his study of the trend, Schoenberger carried out an interview with Mr. Tuffile, a director at Bentley University in Waltham, Mass. Being a director of the entrepreneurial studies at the university, Mr. Tuffile is well vast in matters pertaining to management of businesses, both large scale and small scale enterprises. To begin with, Schoenberger acknowledges the role and economic importance of business incentives that the government offers in a bid... Schoenberge...
8 Pages(2000 words)Book Report/Review


... The concerns and economic thought of Sir William Petty and Sir Thomas Smith Sir William Petty (27th May 1623 – 16thDecember 1687)) was a strong mercantilist often credited for the first use of empirical analysis to study the economy. He wrote a number of books, the main one being Discourses on Political Arithmetic and A treasure of taxes and Contributions. He held the belief that taxes were the backbone of national wealth and that labor was an active principle for this as well. Sir Thomas Smith (23rd December 1513 – 12th August 1577) was a bitter critic of debasement and due to this he became a renown vocal opponent of Lord Somerset, his mentor, on his policy of repeated debasement for attaining of wealth for the crown. He... The concerns...
2 Pages(500 words)Essay


... what Keynes argued that government spending should regulate the demand in the market by arguing that he preferred to set the market in the economy to operate freely. Hayek argued that the market should operate freely without any intervention and correct itself without intervention too. His argument was that intervention by either the government spending or the policies of the central bank in effort to correct the market and bring back the growth can lead to a transformation of a very mild recession. This transformation of the mild recession gives rise to a cluster in the economy. 3. Five concepts of Macro economics It is important for my classmates to remember several concepts of macroeconomics. These concepts are; National income, Gross...
12 Pages(3000 words)Essay

Macro Econ Discussion Questions

...Macroeconomics al Affiliation) Answers to Page 67 Questions Question 2 b) Lower tuition fee. Question 3 If the government had introduced price-gouging laws for consumers, the shrimp prices would not have risen and consumption would have remained the same in the wake of the BP Oil spill. Question 7 Both individuals who can afford and those that cannot afford the market prices share the available (qa) organs. This is fairer than the market distribution system where individuals who can afford the market prices only can access the organs. Answers to Page 68 Questions Problem 4 If the government set a price ceiling of $2, the total market supply would be 12 gallons per day. However, at this price, the total market demand is 15 gallons... al...
2 Pages(500 words)Assignment

Uncontrollable Factors in Macro and Micro Environment and their Impact On Shyamali Exporters Limited

... College Module Analysis of Uncontrollable Factors in Macro and Micro Environment and their Impact On Shyamali Exporters Limited. Organisations exist within a dynamic business environment, which continuously impacts upon the organisations operations. While organisations may attempt to control certain aspects of its environment, mainly within the microenvironment, the environment remains mostly uncontrollable. Companies operating within today’s globalised economy are affected by a wider and more turbulent globalised macro environment and therefore pose greater managerial challenges. Key micro environmental factors include company, competitors, suppliers, customers, marketing intermediaries and publics of the company. The macro...
9 Pages(2250 words)Case Study

Macro Economic Policies of the French and German Governments

In contrast, the Socialist Partys Ségolène Royal has made large spending promises which would cost, according to estimates by the Economist (2006), €49 billion per year by 2012. That is almost a third more than the expenditure planned by the current government, and there are questions as to whether the faltering French economy will be able to support such levels of expenditure.
In the three months to September 2006, the quarterly GDP growth rate was zero, when the Bank of France had forecast growth of half a percent. Many economists believe that the flat growth in the third quarter of the year was merely a correction from the 1.2% growth in the second quarter, a view that was born out by 0.7% growth in the...
11 Pages(2750 words)Assignment

Analysis of Macro Factors of the Business Processes of Electronic Firm Sonic Divine

Analysis of Macro factors that impact the market strategy
The fast-changing dynamics of the current business processes necessitate a corresponding change in strategy so as to take into consideration the emerging risks which may influence the overall development of the business enterprise. Nonmarket factors, in emerging markets, become all the more crucial because of the sensitive nature of the new market potential and the volatility of the market forces. The nonmarket factors or the new macro-environment factors have a significant impact on the market strategies of the products, thus making it essential for the organizations to incorporate the vagaries of those environment elements into its marketing strategy. There are six m...
8 Pages(2000 words)Case Study

Micro and Macro Carbon Audit

...Micro and Macro Carbon Audit 0 Introduction 1 Carbon Emissions Carbon dioxide (CO2) is released into the atmosphere by various human activities. Burning fossil fuels for the production of energy and transport are activities that are the primary source of CO2 in the atmosphere. USA, China, Indonesia, and Brazil are the highest contributors of CO2 in the atmosphere. Deforestation is another cause for more greenhouse gas emissions. Burning of tropical forests to make room for industrial agriculture such as cattle ranching and palm oil plantations emit massive amounts of CO2 into the atmosphere. Global warming has become a pressing issue of our time, and scientists have suggested that drastic cuts in CO2 emissions are required to stop global...
14 Pages(3500 words)Research Paper

Macro and Competitive Environment of the Non-Alcoholic Redbull Cola in the UK Market

...Consultancy Report Reference The report is prepared for the Chief Executive Officer of ‘non alcoholic Redbull Cola’ so as to study and evaluate the macro and competitive environment of the product in the UK market. Procedures In the fast changing environment of highly competitive global business, taking cognizance of fast changing preferences of people have become major imperatives of the market strategy along with emerging new paradigms of macro environment which significantly impact business performance. As a Marketing Consultant, the study of macro environment has become crucial to the success of Redbull Cola drink. The study was, therefore, primarily focused on the following factors: The benefits of using Redbull Cola drinks...
6 Pages(1500 words)Case Study

Macro and Micro Environmental Factors in the Organization of Tesco

...A critical analysis the impacts of macro and mirco environmental factors to the organization of Tesco and the marketing mix decisions. All organizations are open systems; they exist within a dynamic and complex environment having a variety of interchanges with it, both receiving inputs and outputs. Companies try to control the nature of their output but very few of them can control more than a few of the inputs they receive. Hence organizations try to predict, in future, the changing environment in which they are working and in result they make strategies to combat such changing environment. Successful organizations tend to such things and hence positive results follow. The organization that I have chosen is TESCO, which is a well...
10 Pages(2500 words)Case Study

The Key Macro Factors that Have Influenced the UK Grocery Retailing Industry since the Early 1960s

... accounting for macro economic factors in strategy development and management, a business will fail (Johnson et al, 2008, p.3). If we consider this contextually with regard to the UK grocery market; the move demise of the local high street store to the dominance of supermarkets in the past 20 years has radically transformed the grocery market ( Henry, 2008, p.77). For example, the DEFRA Economic Note on UK Grocery Retailing (2006) indicates that in addition to continued growth in the UK Grocery Retail sector; approximately “3/4 sales are made in supermarkets and superstores… with traditional small retailers now accounting for only 7% of sales” (DEFRA, 2006). It is submitted that a key element of this is effective interrelationship between...
13 Pages(3250 words)Assignment

Macro Issues That Affect Airlines Industry

...1. Macro Issues That Affect Airlines Industry The airline industry is also affected by macro issues taking into account the following: The current world financial crisis negatively affects the demand of the airline industry and customers’ disposable income as they becoming more price conscious. Market deregulation and liberalization in the airline industry had increased competition. The emergence of low-cost carriers (LCC) has exceeded the high performance and profitability of legacy carriers. The impact of terrorism and contagious diseases had also decreased the demand for air travel, because customers are more conscious on their safeness (Beamish & Ashford, 2005, p. 352). The airline industry is gravely affected by the rising fuel...
10 Pages(2500 words)Case Study

Macro and Microeconomics Factors in the UK Housing Market

The housing industry is divided into residential, commercial and industrial segments. Economists define supply in terms of service units, that is, a physical unit can be deconstructed into the services that it helps provide. These housing unit services are considered as an unobservable theoretical construct. Housing stock depreciates making it qualitatively different from a brand new constructed building.
The owner, user/owner and renter comprise the demand side of the housing market while the renovators and developers comprise the supply side of the market. In order to implement the simple demand and supply analysis to the housing markets, several modifications have to be made to the standard microeconomic procedures and ass...
8 Pages(2000 words)Research Paper

(1) Select a specific firm in business markets you are familiar with and (2) analyse market segmentation strategy of the firm in business markets. (3) Some firms follow a single-stage segmentation approach using macro dimensions; others use both macro-dim

...Market Segmentation Strategy of Nokia Company Contents Executive Summary 2 Introduction 3 Central Concepts Defining Market Segmentation 4 Description of Nokia’s Market Segments Based on Psychographic 9 The Segmentation of Nokia Conducted on the Basis of Price 10 Conclusion and Recommendations 11 Bibliography 12 Executive Summary The Nokia Company is one of the leading entities in the mobile phone industry. The company has exhibited a proper understanding of the dimension used in market segmentation. This is evident in the company’s efforts to identify numerous market segments and design products that suit the needs of these customers. The first section of the paper presents the central aspects defining market segmentation... Segmentation...
10 Pages(2500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Assignment on topic Macro Econ for FREE!

Contact Us