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Mi (Nov)

In: Business and Management

Submitted By joshi2016
Words 665
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Team Assignment #1
Lessons 1 to 9
Class, you have been assigned into teams of 4 or 5. You need to discuss amongst yourselves how the duties of the assignment will be divided and the manner in which it will be presented to me. Working together will ensure that all parts will be done well and on time.

Question 1: Overview of the Macroeconomy: Interpretation (25 marks)
Please discuss the current state of the macroeconomy in Canada. In particular please discuss the growth rates and gross domestic product, the unemployment rate and lastly inflation. Please discuss how these variables compare to both the short and long run averages. In providing answers, please provide where data was obtained. You can use the internet or more authorative sources such as the Bank of Canada, Statistical Canada (Cansim) dataset or the IMF/World Bank websites. After you have ascertained this information, please make a determination as to whether the economy is at its long run equilibrium level (full employment), or whether it is in a recessionary or expansionary gap. (Hint: the economy is rarely at its long run level).

Question 2: Legislative Overview (15 Marks)
Please discuss 2 important institutions in Canada responsible for conducting fiscal and monetary policy, name the Department of Finance and the Bank of Canada. What are the roles of each and what are each responsible for obtaining? What are the responsibilities of each institution and what tools do they have at their disposable to impact the economy? Can you say that their objections are in tandem with one another or due they sometimes conflict? Please explain.

Question 3: Mechanical Aspects of Conducting Fiscal and Monetary Policy (25 Marks)
Briefly explain the tools that governments have to move the economy from either a recessionary or expansionary gap to the long run equilibrium level. Based on...

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