TAILIEUCHUNG - Lecture Business economics - Lecture 23: Aggregate demand and aggregate supply - I

This chapter introduces: Short run economic fluctuations, the basic model of economic fluctuations, the aggregate-demand curve, theory of liquidity preference. changes in the money supply. changes in government purchases. | Review of the previous lecture Exchange rates nominal: the price of a country’s currency in terms of another country’s currency real: the price of a country’s goods in terms of another country’s goods. The real exchange rate equals the nominal rate times the ratio of prices of the two countries. How the real exchange rate is determined NX depends negatively on the real exchange rate, other things equal The real exchange rate adjusts to equate NX with net capital outflow How the nominal exchange rate is determined e equals the real exchange rate times the country’s price level relative to the foreign price level. For a given value of the real exchange rate, the percentage change in the nominal exchange rate equals the difference between the foreign & domestic inflation rates. Review of the previous lecture Aggregate Demand and Aggregate Supply - I Instructor: Abbas Course code: ECO 400 Lecture 23 Lecture Outline Short run economic fluctuations The Basic Model of .

• Kinh tế học
• Business economics
• Lecture Business economics
• Business applications of economics
• Open economy
• Competitive markets
• Economic Models
• Principles of economics
• Economics of agriculture
• Monopolistic competition
• Macroeconomic policy
• Supply curve
• Elasticity of demand
• Consumer choice
• Competitive firms
• Imperfect competition
• Gross domestic product
• Financial intermediaries
• Productivity growth
• Natural rate of unemployment
• Labor force
• Money supply