• Chapter 30: Fiscal Policy, Deficits, and DebtChapter 30: Fiscal Policy, Deficits, and Debt

    Fiscal Policy Deliberate changes in: Government spending Taxes Designed to: Achieve full-employment Control inflation Encourage economic growth

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  • Chapter 29A: Appendix: Aggregate Demand and Aggregate SupplyChapter 29A: Appendix: Aggregate Demand and Aggregate Supply

    Chapter 29A: Appendix: Aggregate Demand and Aggregate Supply

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  • Chapter 29: Aggregate Demand and Aggregate SupplyChapter 29: Aggregate Demand and Aggregate Supply

    Real GDP desired at each price level Inverse relationship Real balances effect Interest effect Foreign purchases effect

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  • Chapter 28: The Aggregate Expenditures ModelChapter 28: The Aggregate Expenditures Model

    Assumptions and Simplifications Use the Keynesian aggregate expenditures model Prices are fixed GDP = DI Begin with private, closed economy Consumption spending Investment spending

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  • Chapter 27: Basic Macroeconomic RelationshipsChapter 27: Basic Macroeconomic Relationships

    Income Consumption and Saving Consumption and saving Primarily determined by DI Direct relationship Consumption schedule Planned household spending (in our model) Saving schedule DI minus C Dissaving can occur

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  • Chapter 26: Business Cycles, Unemployment, and InflationChapter 26: Business Cycles, Unemployment, and Inflation

    Alternating increases and decreases in economic activity over time Phases of the business cycle Peak Recession Trough Expansion

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  • Chapter 25: Economic GrowthChapter 25: Economic Growth

    Increase in real GDP or real GDP per capita over some time period Percentage rate of growth Growth as a goal Arithmetic of growth: Rule of 70

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  • Chapter 24: Measuring Domestic Output and National IncomeChapter 24: Measuring Domestic Output and National Income

    Assessing the Economy’s Performance National Income Accounting measures economy’s overall performance Bureau of Economic Analysis compiles National Income and Product Accounts Assess health of economy Track long run course Formulate policy

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  • Chapter 23: An Introduction to MacroeconomicsChapter 23: An Introduction to Macroeconomics

    Performance and Policy Real GDP Corrects for price changes Nominal GDP Uses current prices Unemployment Inflation Increase in overall level of prices

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  • Chapter 22W: The Economics of Developing CountriesChapter 22W: The Economics of Developing Countries

    Industrially advanced countries High income nations Well-developed market economies Per capita income $37,665 in 2008 Developing countries Middle income nations Low income nations Wide variation in income per capita

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