# Gross Domestic Product Assignment | Homework For You

Ms., The ISBN-10 0-321-48551-3 with chapter 17 you have access to this book it’s in the data base, John J Laux”Suppose that the equation for th aggregate demand is Y = \$9,000 + 111’/P, where M S is the nomiml money supply and P is the price level. Initially the nominal money supply equals \$3,000. In addition, suppose that the expectations of firms and workers are rational in the sense defined on p. 557.

Don't use plagiarized sources. Get Your Assignment on
Gross Domestic Product Assignment | Homework For You
Just from \$13/Page

(a)Calculate points on the aggregate demand curve when the price level equals 0.8, 1.0, 1.2, 1.25, and 1.5, given the initial value of the nominal money supply.

(b)Suppose that natural real GOP equals \$12,000 and that the short-run supply cmve is given in the table below, where the price surprise equals P -P~ and pc is the expected price level:Price surprise -0.2 0.0 0.2 0.25 0.5 Real GDP 11,900 12,000 12,100 12,125 12,250Given that the expected price level is initially 1.0, explain why the economy is in long-run equilibrium when the price level equals 1.0 and real GOP equals \$12,000.

(c) Suppose that the real exchange rate declines as it did in 2006-2007 and as a result, aggregate demand increases. Also assume that the decline in the real exchange rate will persist over time. As a result of this decline, the new equation for the aggregate demand is Y = \$9,600 + NI’/P. Given no change in the nominal money supply, calculate the points on the new aggregate demand curve when the price level equals 0.8, 1.0, 1.2, 1.25, and 1.5, given the initial value of the nominal money supply Using the table given in part b, explain what the new equilibrium price level and level of real GOP are in the short run, given the price surprise induced by the decline in the real exchange rate.

(d) Monetary policymakers respond to the decline in the real exchange rate in one of three ways:(i) they do nothing and leave the nominal money supply as is; (ii) they change the money supply so as to return the price level to its level as given in part b; or (iii) they change the money supply so as to maintain the price level as determined by your answer to part c. For each of these cases, assume that this is how monetary policymakers have behaved in the past and this is how firms and workers expect them to behave in response to the decline in the real exchange rate. Calculate what the long-run equilibrium price level is and what the expected price level is under each response by monetary policymakers. Calculate by how much monetary policymakers mllst change the nominal money supply for the expectations of firms and workers to be realized.” “Get Economics homework help today

Calculate the price
Pages (550 words)
\$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with Homework Writing Services
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
Testimonials
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Nursing
Awesome! Thanks
Customer 454007, June 19th, 2020
Medical Terminology
Thank you
Customer 454783, April 12th, 2022
English 101
Customer 462833, April 9th, 2022
Cybersecurity Management and Policy
Thank you to the writer for the near perfect revision and a HUGE thank you to customer support for staying in constant communication with me to ensure the assignment was completed to my specifications.
Customer 452455, January 26th, 2023
Education
Good response.
Customer 454463, May 5th, 2022
Ethics
Thanks so much!!!
Customer 454087, June 24th, 2020
Nursing
Excellent work!!!
Customer 453939, June 25th, 2020
Math
Customer 453625, April 7th, 2022
Healthcare & Medical
An exceptional blogpost
Customer 463337, December 14th, 2022
Social Work and Human Services
Great writer! Thanks for the revision, the paper is so much better than ones previous.
Customer 463301, November 8th, 2022
English 101
Customer 460547, April 25th, 2022
Psychology
Good job.
Customer 453707, May 8th, 2022
11,595
Customer reviews in total
96%
Current satisfaction rate
3 pages
Average paper length
37%
Customers referred by a friend