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Introduction To Macro_FIN-3AB_20251
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LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
Aggregate Demand is an average of individuals demand curve.
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
The government plans to increase government spending, and as a result, the budget deficit will increase. What are the government's options to fund the spending?
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
Consider a fixed exchange rate regime. What is the expected result when a country's real exchange rate is weakening, and the central bank cannot intervene in the money market?
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
Consider money supply is USD 100. The central bank reduces the reserve requirement from 10% to 5%. What is the effect of reducing reserve requirements to money creation?
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
Central bank policy to change reserve requirements will have an effect on
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
When there is deflation pressure, which is central bank action.
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
The policy that tend to be retaliate by impacted countries.
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
The crowding-out effect happens because the government competes with the private sector for investment funds.
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
Nominal interest rates = real rates + inflation rates. The nominal interest rates move in tandem with inflation rates.
LG 1. Knowledge Comprehension
LO 1.1. Generate knowledge of core concept and theory
Consider:
US CPI is 5.00% p.a.
Indonesia CPI is 2.50% p.a.
Current exchange rate USD 1 = IDR 15,500.
What is the next year exchange rate USDIDR?