ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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directions:
Use the given scenarios and the information you have learned about Fiscal and Monetary policy to complete the questions that follow

Over the past 3 years, prices in Belarus have risen by 4%, as overall economic growth has increased by 5% while unemployment rates are 1.3%. Aram is finding that all goods, even necessities cost more at the stores. He is worried he may have to cut back on certain purchases.

The Results

As the money supply (increases/decreases)

Blank 1

, businesses will get (more/less)

Blank 2

money and eventually unemployment (increases/decreases)

Blank 3

.

When that happens Aram will see prices (rise/fall)

Blank 4

as the economy (expands/contracts)

Blank 5

 

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 What will the federal government do to taxes?

 

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