Search for tag: "demand"

In this Q&A from the Climate Action MOOC, Dr. Frank Qiankun Wang, Deputy Director of GEIDCO’s North American Representative Office, discusses the need for cross-border grid connection to…

In this chapter, Professor Sachs discusses international trade and how it is affected by the exchange rate, which is in turn affected by financial flows and the differences of interest rates at home…

This chapter focuses on exchange rates and how they impact aggregate demand management in an open economy. It makes use of the C + I + G + (X - M) = GDP formula of the net trade balance in the…

This chapter begins by explaining the impact of aggregate demand in an open economy, via fixed and flexible exchange rates. In a fixed or pegged exchange rate, the central bank doesn’t allow…

This chapter discusses inflation and unemployment, as well as problems of stabilization. There is a trade-off between inflation and unemployment. Professor Larraín explains setting the…

This chapter focuses on why people demand money. Individuals and firms demand money to make transactions. The inventory approach to money demand, from Baumol and Tobin, says that families can…

This chapter explains the IS-LM model of John Hicks to understand aggregate demand management. Assuming that wages are sticky and that the price that the business charges is a fixed markup over the…

This chapter mentions three problems with stimulus policies. First, it may not be so easy to raise aggregate demand using the specific policy tools that government has, and examples are tax cuts and…

This chapter talks about the role of government induced tools, such as actions by the central bank or actions in budget spending and tax decisions, towards a stabilization policy. Stabilization…

Laudato Si' is a great document, the most important document produced by popes in this century—we can say, in this century—because it just gives a sort of description of the…