Buy custom Imagine that you were called in by the government to advice on how it should use macroeconomic policy to manage the cyclical fluctuations in the economy. What advice would you give and how would you justify the advice?
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Topic: |
Business
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Number of pages / Number of words: |
5 / 1226 |
Essay's paper body
Wages are initially too high and there is unemployment of ab. This causes wage rates to fall and employment increases as a result from Q1 to Q2. Any unemployment left in the economy would be purely voluntary unemployment - people who have chosen not to work at the going wage rate.
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Wages are initially too high and there is unemployment of ab. This causes wage rates to fall and employment increases as a result from Q1 to Q2. Any unemployment left in the economy would be purely voluntary unemployment - people who have chosen not to work at the going wage rate.
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General points of the essay
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How has the level of employment/unemployment and national minimum wage legislation impacted on the economy as a whole and how will this effect the economy in the years to come?
Imagine that you were called in by the government to advice on how it should use macroeconomic policy to manage the cyclical fluctuations in the economy. What advice would you give and how would you justify the advice?
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