Macroeconomic Objective: Economic Growth
Task directions:
Each group will answer the questions according to their assigned macroeconomic policy tool. You will record your answers using google slides and share them with the rest of your classmates.
Each group will answer the questions according to their assigned macroeconomic policy tool. You will record your answers using google slides and share them with the rest of your classmates.
- Why is long-term economic growth a macroeconomic objective?
- What are the possible causes of negative growth in an economy?
- What are the possible consequences for a nation not being able to achieve long-term economic growth?
Expansionary Policy
- During an economic contraction, why is economic growth not achieved?
- Using a diagram(s), show how FISCAL policy addresses an economic recession?
- What are the possible long-term effects to achieving economic growth?
- Using a diagram(s), show how MONETARY policy addresses an economic recession?
- What are the possible long-term effects to achieving economic growth?
- Using a diagram(s), show how SUPPLY-SIDE policy addresses an economic recession?
- What are the possible long-term effects to achieving economic growth?
- Which expansionary policy tool best addresses the macroeconomic objective of economic growth? Why? How?
- Which expansionary policy tool is the worst in addressing the macroeconomic objective of economic growth? Why? How?
Contractionary Policy
- During an economic expansion, why is it bad that economic growth is over-achieved?
- Using a diagram(s), show how FISCAL policy addresses a hyper-inflation?
- What are the possible long-term effects to achieving economic growth as a result of the policy tool?
- Using a diagram(s), show how MONETARY policy addresses a hyper-inflation?
- What are the possible long-term effects to achieving economic growth as a result of the policy tool?
- Using a diagram(s), show how SUPPLY-SIDE policy addresses a hyper-inflation?
- What are the possible long-term effects to achieving economic growth as a result of the policy tool?
- Which contractionary policy tool best addresses the macroeconomic objective of economic growth? Why? How?
- Which contractionary policy tool is the worst in addressing the macroeconomic objective of economic growth? Why? How?