Impacts of supply-chain disruptions For questions 38-40 suppose that, due to supply-chain disruptions, the full employment level of output falls to Y = 400. Question 3, PR: sPy Starting from the initial GE situation, what are the short run equilibrium values of output and the real interest rate? Y = 500; r = 0.055 Y = 550; r = 0.065 Y = 450; r = 0.025 %3| Y = 500; r = 0.030 Question 39 (. In the new GE, what are the values of the price level and the real interest rate? P = 0.833; r= 0.070 P= 0.476; r= 0.040 P= 0.444; r = 0.075 P= 0.256; r = 0.074 Question 40 Suppose that the central bank of Hilarius tries to offset the eventual decline in output (due to supply-chain disruptions) by increasing the money supply to M = 120. What will be the resulting output and the price level in GE? Y - 400; Р — 1 %3D Y = 450; P = 0.667 %3| Ү — 520;B Р — 0.385 Y = 420; P = 0.571 %3|

Impacts of supply-chain disruptions For questions 38-40 suppose that, due to supply-chain disruptions, the full employment level of output falls to Y = 400. Question 3, PR: sPy Starting from the initial GE situation, what are the short run equilibrium values of output and the real interest rate? Y = 500; r = 0.055 Y = 550; r = 0.065 Y = 450; r = 0.025 %3| Y = 500; r = 0.030 Question 39 (. In the new GE, what are the values of the price level and the real interest rate? P = 0.833; r= 0.070 P= 0.476; r= 0.040 P= 0.444; r = 0.075 P= 0.256; r = 0.074 Question 40 Suppose that the central bank of Hilarius tries to offset the eventual decline in output (due to supply-chain disruptions) by increasing the money supply to M = 120. What will be the resulting output and the price level in GE? Y - 400; Р — 1 %3D Y = 450; P = 0.667 %3| Ү — 520;B Р — 0.385 Y = 420; P = 0.571 %3|

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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