Question in canada the consensus estimate of the natural, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics

Basic Economics

Business Economics

International Economics

Managerial Economics

Public Economics

Home >> Microeconomics

Question: In Canada, the consensus estimate of the natural rate of unemployment was 4.5% in 1970 and 7% in 2005. A minority view has claimed that the change to 7% is beyond explanation and must be too high. A similar change has taken place in the United States over this period, but the consensus estimate of the natural rate of unemployment is closer to 5% today. What would be the result if the Bank of Canada (the central bank in Canada) and the Federal Reserve in the United States assumed that the natural rate was 7% when it really was closer to 5%?

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M92292283

Have any Question?Write your Review or question?

Related Questions in Microeconomics

Question southwest airlines hedged half of its fuel

Question: Southwest Airlines hedged half of its fuel supplies last year. Why not choose to fully insure by hedging 100 percent of them? Jet Blue hedged almost none of them. Was Jet Blue's management necessarily incompete ...

Question what is the relationship if any between production

Question: What is the relationship (if any) between production technology (i.e. productivity) and cost ? In your analysis define the various cost structures (short-run & long-run); Describe the difference between account ...

Question recall the characteristics of a competitive market

Question: Recall the characteristics of a competitive market environment. now recall the characteristics of a monopolistic competitive market environment. Using the above and thinking very carefully, discuss the evolutio ...

Question suppose a firm has a labor demand curve given by w

Question: Suppose a firm has a labor demand curve given by w = 20 - 0.01E. Furthermore, suppose that the union representing workers in the firm derives utility from the wage rate and the level of employment according to ...

Question suppose you are considering investing 1000 in one

Question: Suppose you are considering investing $1,000 in one of the following bank CDs (certificate of deposit). a. the first CD will pay an interest rate of 12% year for three years. b. the second CD will pay 18% the f ...

Question explain how labour productivity is determined in

Question: Explain how labour productivity is determined. In your answer address why human capital is considered to be so vital to lifting labour productivity levels. To illustrate your understanding provide an example. Y ...

Question in addition to economic benefits regional economic

Question: In addition to economic benefits, regional economic integration produces political benefits. By fostering close economic ties between nations, regional economic integration helps foster peace, as illustrated by ...

Question the taxpayer relief act of 1997 created the roth

Question: The Taxpayer Relief Act of 1997 created the Roth IRA, which permits qualifying individuals to make after-tax retirement contributions of up to $2,000 annually. Contributions to a Roth IRA are not tax-deductible ...

Question historically wages in the united states have been

Question: Historically, wages in the United States have been high relative to wages elsewhere. Does the chapter shed light on this phenomenon? Explain. The response must be typed, single spaced, must be in times new roma ...

Question - janice really likes potatoes at best any other

Question - Janice really likes potatoes. At best any other goods are worth less than a dollar to her, potatoes cost $1.00 per pound, and she has $6.00 that she could possibly spend on potatoes or other items. Suppose she ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As