Assignment 1
The purpose of
this is assignment is for students to review the basic principles of economics
and the concepts of the circular flow model, showing the connectivity of
society’s economic players and the flow of goods and money within an economy.
Students will learn how society allocates its scarce resources and how
economists are both scientists and policymakers. Students will define GDP and
CPI and how they are calculated.
Assignment Steps
Scenario: Your
organization’s CEO is concerned that members of the strategic planning
committee are not familiar with current economic thought and principles. The
CEO has assigned you the task of developing a report to introduce some of these
thoughts and principles.
Develop a
1,050-word report to the members of the strategic planning committee explaining
the following information:
How economists
are both scientists and policymakers and what principles society uses to
allocate its scarce resources.
Using the
circular flow model, explain the flow of money and goods in an economy.
How the economy
coordinates society’s independent economic actors.
A country’s gross
domestic product (GDP) and how it is defined and calculated.
How the consumer
price index (CPI) is constructed and why it is an imperfect measurement of the
cost of living. Format the assignment consistent with APA guidelines.
Assignment 2Week 3 will help students develop an understanding of what money
is, what forms money takes, how the banking system helps create money, and how
the Federal Reserve controls the quantity of money. Students will learn how the
quantity of money affects inflation and interest rates in the long run, and
production and employment in the short run. Students will find that, in the
long run, there is a strong relationship between the growth rate of money and
inflation. Students will review the basic concepts macroeconomists use to study
open economies and will address why a nation’s net exports must equal its net
capital outflow. Students will demonstrate the relationship between the prices
and quantities in the market for loanable funds and the prices and quantities
in the market for foreign-currency exchange. Student will learn to analyze the
impact of a variety of government policies on an economy’s exchange rate and
trade balance. Assignment Steps Resources: National Bureau of Economic Research
Develop a 2,100-word economic outlook forecast that includes the following:
Analyze the
history of changes in GDP, savings, investment, real interest rates, and
unemployment and compare to forecast for the next five years.
Discuss how
government policies can influence economic growth.
Analyze how
monetary policy could influence the long-run behavior of price levels,
inflation rates, costs, and other real or nominal variables.
Describe how
trade deficits or surpluses can influence the growth of productivity and GDP.
Discuss the
importance of the market for loanable funds and the market for foreign-currency
exchange to the achievement of the strategic plan.
Recommend, based
on your above findings, whether the strategic plan can be achieved and provide
support. Use a minimum of three peer-reviewed sources from the University
Library. Format your paper consistent with APA guidelines.
