economics essay (1 Viewer)

[2sense]

I have an in class 40 minute assessment task essay on economic growth, unemployment or inflation or all three in a couple of days. Theres heaps to cover and i don't know where to start and how to link these if more than one of these topics pop up. I have a feeling that its going to be mostly on unemployment and a little on the rest. please help. i don't event know how to plan!please help . i need a miracle.

 

[Lobsey]

As a starting point I suggest you consider the Macro environment, as here you can see all three areas linked.

If the economy is growing (ie we have ec. growth, indicated by greater GDP) then the extra demand for goods and services creates extra demand for labour, so unemployment falls.

The extra demand also creates higher prices (ie Demand pull inflation).

I suggest you try to consider what happens when the economy is shrinking and see if you can work through what happens to unemployment and inflation.

Then, consider how your expansionary fiscal and monetary policies can be used in an expansionary way and how this affects the 3 issues. Do the same for contractionary.

If you have these under control, then you can look to specific policies to target these areas and finally, consider the need for the government to BALANCE its needs, as expanding the economy is good for ec growth and unemployment but bad for inflation.

 

[2sense]

yep thanks. i'll keep that in mind.