Contents
This paper answers the following 2 questions – - 1. Assume that the money market is initially in equilibrium for an economy.
- Explain with the aid of a diagram how the market adjusts to
- (i) an increase in money supply (250 words)
- (ii) an increase in real GDP (250 words)
- 2. Choose an economy of interest to you and answer the following question:
- (1000 words max)
- What measures did the country’s central bank adopt in the 2008 period, in the face of the worsening global financial crisis? Name 2-3 key measures & describe briefly how it was implemented.
- Which of these measures were effective? Which ones were not? Provide an economic explanation of why do you think so.
Description
N/A
