Due in few hours. 125-150 words each. No Plagiarism. Upload the Plagiarism Report too
Q1. Explain why the positive growth rate of RGDP, which is already adjusted for inflation, doesn’t necessarily reflect the true economic well-being of the society as a whole.
Q2. Explain briefly why actual unemployment is never zero, even when the economy is considered to be in a state of full employment.
Q3. Why do economists and business investors expect inflation to accelerate when actual unemployment falls below the natural rate of unemployment (NAIRU)?
Q4. Critically, but very briefly, explain why the minimum RGDP growth rate needed to achieve full employment for the United States is constrained by 3%. Give numerical examples by using relevant equations and compare them with other countries’ positions.
Q5. Briefly explain why the shape of the SRAS curve is relatively flat during a severe recession and increasingly slopes upward as the economy reaches full employment and beyond.
Q6. What is the Keynesian multiplier and how does it expand the economy at the rate of the multiple of initial expenditure amount injected into the economy? Give a numerical example as part of your answer
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