Brazilian coffee producers will harvest between 47 million
bags and 50.2 million this year, approaching last year’s record
50.8 million bags, the government said in January.
GDP=C+!+G+X-M
demand for domestic products decrease because foreign products are relatively cheaper - increase in M and decrease in X, so AD decreases and GDP decrease causing deflation
This response will be about falling inflation. So I'm hoping to find some information on perhaps why it is falling, to what extent the government played a part, and what might the consequences be?
I can now bring in monetary policy and explain not only why a government may wish to lower interest rates (to boost AD) but also how a lowering of inflation might allow this situation.
Could also do some evaluation to suggest that cost-push disinflation is better to have than demand-pull disinflation, as with cost-push disinflation you still get GDP growth.
I could use this to introduce the relationship between interest rates and exchange rates. However that's more international economics so I might just ignore it.
This is a nice article that allows me to explain what inflation is and how Kenya has cost-push disinflation. I can easily show this in a diagram. What's more it also talks about monetary policy, so I can explain how the government has helped create this - the impact of interest rates on costs. There are also some really good evaluation opportunities, particularly as the article suggests the Kenyan government itself doesn't know what to do with interest rates. I can ignore exchange rates but instead focus on the possible impact on employment and general GDP growth, whilst not ignoring the ominous signs mentioned about future world commodity prices.
The price of premium-quality extra virgin olive oil in the wholesale market fell this month to $2,900 a tonne, the lowest since 2002 and down more than half from nearly $6,000 a tonne in 2005, according to the International Monetary Fund.
The EU has tried to deal with the surplus by paying companies to stockpile oil
Australia's central bank cut its interest rate, which is a monetary policy. This is intended to increase consumption and investment, thus the aggregate demand
At the same time, domestic demand has also been stagnant despite efforts to spur consumption.
At the same time, domestic demand has also been stagnant despite efforts to spur consumption.
Main component of Australia's GDP growth was export of natural resources. Due to unstable international economy, foreign companies manufacture less good, so less Australia's resources will be demanded. Thus GDP growth slows down.
In China, one of the biggest markets for Australian commodity exports, both the manufacturing and non-manufacturing sectors have seen the pace of growth slow in May, raising concerns about a slowdown in its economy.
The nation’s gross domestic product slid 6.2 percent in the second quarter from a year earlier
unemployment rate in May reaching a record 23.1 percent
Antonis Samaras, the conservative prime minister of Greece, is seeking to deliver further austerity measures to free up more of the rescue funds provided by the so-called troika — the International Monetary Fund, European Union and European Central Bank — as part of a 130 billion euro ($160 billion) loan program
'retaliatory tariffs' on a range of US imports, including wine
US failed to change its country of origin labelling rules to comply with the WTO ruling. But, he said Canada would seek WTO approval before making a move.
Canada represents the second largest export market for US wines by value behind the European Union
Flynn said oyster growers in his country, Ireland, are selling to Asia because the market in Europe is so competitive. There is room, however, for specialty products.
Most are purchased from France, or consumers are buying local product. Canadian oysters are largely unknown.