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Fuyuka Nakamura

India's GDP growth slows sharply - May. 31, 2012 - 2 views

money.cnn.com/...index.htm

shared by Fuyuka Nakamura on 06 Jun 12 - No Cached
  • sharply
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      AD/AS changed in time fast
  • In the first quarter, the country's manufacturing sector contracted and its agricultural sector slowed substantially
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      An aggregate demand and supply curve can be shown to demonstrate the decline in GDP, which resulted from the contraction in the agricultural sector/manufacturing sector. The supply curve can shift down to demonstrate how the economy is producing less.
  • due primarily to weakness in its manufacturing and agricultural sectors
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      Reason for the decline in economic growth in India. Shift in AS.
  • ...8 more annotations...
  • Spending by both consumers and the government decelerated slightly.
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      By spending to decrease, the demand curve will shift, as people demand/spend less on the good/service.
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      Consumer confidence is affected by the high interest rates (mentioned below)
  • tighter monetary policy
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      Monetary Policy can be described. The interest rate and supply of money can be described to show how goods/services can affect economic growth.
  • interest rates high for three years to battle rapid inflation
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      As interest rates are high, the sectors will not want to borrow money, as they will be losing out on money. Consumers will also save their money rather than spend it, which then affects the aggregate demand curve. Which then affects the economic growth.
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      Contrationary Monetary Policy, as the Gov is trying to fight the inflation. In other words they want to lower the price levels. They do this by rising the interest rate to decrease the supply of money.
  • lower that rate slightly to try to stimulate economic growth.
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      Can talk about the effect of lowering the interest rates. How the consumers will start to spend rather than save and how the businesses (sectors) start to borrow money for investment, which then pumps up the economic growth.
  • lower rates further
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      the Reserve Bank of India can impose Expansionary Monetary Policy, lowering the interest rates, increasing the money supply, encouraging new consumption and investments. This will shift the AD out, increasing India's GDP within time. This will be their solution.
  • economic growth
    • Fuyuka Nakamura
      Fuyuka Nakamura on 06 Jun 12
       
      About India's GDP It will involve AD and AS
  • sharply
  • India is the world's second most populous nation after China, and the 11th largest economy,
Edward Pearson

Euro-Region Inflation Rate Declines More Than Forecast - Bloomberg - 2 views

www.bloomberg.com/...han-economist-forecast-1-.html

shared by Edward Pearson on 31 May 12 - No Cached
  • fell to 2.4 percent from 2.6 percent
    • Joe Kanagawa
      Joe Kanagawa on 31 May 12
       
      Inflation rate has gone down, but it's still positive, so "disinflation" is happening in the said region.
    • Edward Pearson
      Edward Pearson on 01 Jun 12
       
      below 5% - deflation possible in future
  • Crude-oil prices have dropped about 16 percent in the past two months, easing inflation pressures
    • Joe Kanagawa
      Joe Kanagawa on 31 May 12
       
      The type of inflation the region is in could be "cost-push inflation" due to changes in the prices of oil affecting the inflation rate.
    • Edward Pearson
      Edward Pearson on 01 Jun 12
       
      decrease in oil - oil would be part of basket of goods for CPI - inflation could be higher because governments could underrate the spending on oil and change figures 
  • Still, data today showed the German unemployment rate fell to 6.7 percent in May from 6.8 percent
    • Joe Kanagawa
      Joe Kanagawa on 01 Jun 12
       
      Fall in unemployment rate will normally cause the inflation rate to increase, but in this case, it didn't
    • Edward Pearson
      Edward Pearson on 01 Jun 12
       
      -possible shift in SRPC 
    • Edward Pearson
      Edward Pearson on 01 Jun 12
       
      -low inflation and low unemployment is ideal for economy 
  • ...2 more annotations...
  • German business confidence fell more than economists forecast in May,
  • consumer spending also rose more than projected last month, increasing 0.6 percent
Shoko Kuroda

Weak Job Growth in May as Unemployment Rate Ticked Up - NYTimes.com - 0 views

www.nytimes.com/...n-may-jobless-rate-at-8-2.html

shared by Shoko Kuroda on 04 Jun 12 - No Cached
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      The title of the article indicates that it is about unemployment which is in the field od macroeconomics. 
  • global slowdown as the European crisis escalates.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      This sentence indicates the correlation between the unemployment fear of workers in America and the European crisis with countries referred as 'PIGS'. 
  • ...22 more annotations...
  • the nation’s employers added the fewest jobs in a year and the unemployment rate actually rose,
  • serious vulnerability for President Obama as he faces re-election
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      The significance of unemployment rate is clearly indicated, such as the the impact on Obama's re-election. 
  • The unemployment rate rose to 8.2 percent in May from 8.1 in April, though largely because more people began looking for work.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      Unemployment raises when there is more demand for working because no matter whether there is an increase or decrease in the working labour force, the number of available jobs are limited. Because there is a limited number in the number of jobs, the increase in demand for employment raises the unemployment rate. 
  • another recession.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      The word 'recession' can used to introduce the Keynesian economics with the boom and the busts cycles and monetary and fiscal policies to reduce these cycles. 
  • The report on American jobs added to the global pall that has deepened with Europe’s debt crisis and slowing growth in China and India.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      This indicates the influence of America's unemployment rate as well as their economic growth to the other major countries, such as China and India. A increase in America's unemployment rate resulting in a decrease in America's GDP growth has affect on the economy of China and India, such as in exporting goods. 
  • Yields on United States and German government bonds also slumped as investors bid up the bonds’ prices looking for safety.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      The decrease in the prices of government bonds in Germany and United States indicates that the citizens dont have the trust to these countries for their skill to return the money with a fixed amount of tax. This is also another indication for the economy not doing well. 
  • The underlying pace of the domestic economy is a slog, driven by manufacturing and restrained by slackening global demand.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      The main factor of decrease in America's GDP is stated as the overall decrease in the demand for goods since many economies are not successful. 
  • “Manufacturers are very concerned about Europe because a blowup in Europe means a global slowdown,”
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      Europe can be noted as one of the important continents which greatly affect the global economy. 
  • diverse,
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      Whether a company has a diverse target audience or not can be a indicator to determine the impacts of global slow down in markets. 
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      A graph illustrating a global decrease in demand can be applied to draw the consequences of decrease in GDP. 
  • Obama’s economic policies.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      The economic policies which President Obama used can be described thoroughly in this section, such as fiscal and monetary and their success. 
  • The May jobs report showed gains in health care, transportation and warehousing, and wholesale trade, while construction jobs fell by a seasonally adjusted 28,000. Even some bright spots, like booming auto sales, failed to meet expectations or to bolster manufacturing employment by much — only 12,000 jobs.
    • Shoko Kuroda
      Shoko Kuroda on 04 Jun 12
       
      Both the positives and the negatives of America's economy can be explained more in depth and the impact of each factor to the market. 
Ayaka Matsumura

BBC News - China inflation rate dips to a 30-month low in July - 0 views

www.bbc.co.uk/...business-19189771

shared by Ayaka Matsumura on 24 Sep 12 - No Cached
  • inflation
  • Consumer
  • dips to a 30-month low
  • ...24 more annotations...
  • rose by 1.8%
  • down from a 2.2%
  • 3% rise
  • spur domestic consumption
  • domestic consumption
  • domestic consumption
  • many Asian economies
  • Rising consumer prices
  • China's economy grew at its slowest pace in three years in second quarter.
  • 18.7%
  • and 6.1%
  • key drivers of the slowdown in the rate of inflation.
  • China's economy grew at an annual rate of 7.6%
  • slowing global demand for its exports.
  • down from an 8.1% expansion
  • boost stimulus measures
  • world's second-largest economy may slow further
  • Beijing has taken various measures to spur growth.
  • the People's Bank of China, has cut its key interest rates twice since the start of June.
  • benchmark lending rate down to 6%
  • more money to lend to consumers and businesses
  • slowdown in the growth of consumer prices may see policymakers introduce further measures to boost growth
  • more room for policy easing
  • rate of inflation was "likely be below the official 4% percent target for the year, so the policy focus for the government can stay clearly on growth
  • Ayaka Matsumura on 24 Sep 12
     
    China's inflation dipped to a 30-month low in July, giving policymakers a bigger cushion to boost stimulus measures to spur economic growth. Consumer prices rose by 1.8% in July, from a year earlier. That was down from a 2.2% growth rate in June and a 3% rise in May.
Adam Seldis

Kenya inflation slows to 12.2 pct in May | Reuters - 5 views

af.reuters.com/...idAFJOE84T07420120530

shared by Adam Seldis on 30 May 12 - No Cached
Adam Seldis liked it
    • Adam Seldis
      Adam Seldis on 30 May 12
       
      This nicely allows some evaluation, as we can speculate on to what evaluate the government should change interest rates
    • Adam Seldis
      Adam Seldis on 30 May 12
       
      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. 
    • Adam Seldis
      Adam Seldis on 30 May 12
       
      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.
Emily Hoshi

The 86 million invisible unemployed - May. 3, 2012 - 1 views

money.cnn.com/...index.htm

shared by Emily Hoshi on 01 Jun 12 - No Cached
  • population growth
    • Emily Hoshi
      Emily Hoshi on 01 Jun 12
       
      :D?
  • labor force is now at its smallest size since the 1980s when compared to the broader working age population.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      One of the reasons to why there as an increase in unemployment.
    • Emily Hoshi
      Emily Hoshi on 01 Jun 12
       
      Two graphs with the unemployment in micro perspective graph and the boarder working age population (basically population graph of workers) graph to compare and analyze the effects 
  • Last year, 86 million Americans were not counted in the labor force because they didn't keep up a regular job search. Most of them were either under age 25 or over age 65.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Could use the numbers and percentages to create a graph.
    • Emily Hoshi
      Emily Hoshi on 01 Jun 12
       
      This can be shown with unemployment in microeconomics perspective graph
  • ...11 more annotations...
  • that doesn't include the millions of nonworking adults who aren't even looking for a job anymore.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Since unemployment is when a worker is willing and able to work at a given wage rate but there is no job (work) available, when they have given up to look for a job they are not counted in the unemployment rate anymore.
  • unemployment rate is falling
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Could show the unemployment fall on a graph.
  • A person is counted as part of the labor force if they have a job or have looked for one in the last four weeks.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Definition
  • 63.6% of Americans over the age of 16 fell into that category
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Again, could use the statistics to show how it has hit a very low labour force participation rate.
  • Only people looking for work are considered officially unemployed.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Again, definition of unemployment.
  • The unofficially unemployed
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      It is not that the people who were unemployed were not looking for jobs at all.
  • weren't consistently looking for one
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      The reason for them being "unofficially unemployed".
  • Older people, ages 65 and over, account for more than a third.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      They can live on either their savings or the money from the government. 
  • Young people between 16 and 24 make up another fifth.
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Off for education?
  • unemployed
    • Ayaka Matsumura
      Ayaka Matsumura on 01 Jun 12
       
      Types of unemployment: structural, frictional, cyclical, seasonal, natural rate
  • recession
Yihan Li

BBC News - Federal Reserve to buy more debt to boost US economy - 0 views

www.bbc.co.uk/...business-19592151

shared by Yihan Li on 14 Sep 12 - No Cached
  • buy "additional agency mortgage-backed securities at a pace of $40bn (£25bn) per month".
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Buying the securities increases the supply of money in the market
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Increase in supply of money is used to expand aggregate demand
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      (evaluation) talk about the merits and demerits of increase in AD
  • nterest rates in the US have been close to zero for several years now, and the Fed again kept them at below 0.25% on Thursday.
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Low interest rate keeps aggregate demand high -> more spending and investment 
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Draw interest rate vs quantity of money diagram
  • quantitative easing
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      quantitative easing = A monetary policy used to increase the money supply by buying government securities or other securities from the market
  • ...7 more annotations...
  • "We doubt it will be enough to get the economy on the right track. It's only a matter of time before speculation begins as to when the Fed will raise its purchases from $40bn a month."
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      (evaluation) not enough money is spent by Federal Reserve 
  • the central bank buys bonds to keep the long-term cost of borrowing down.
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Increase in supply of money keeps cost of borrowing (long-term interest rate) low
  • The unemployment rate in the US has been above 8% since January 2009, but the current 8.1% is down from the recent high of 10% in October 2009.
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      high unemployment = the economy is not doing well. 
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      The main reason why Fed implemented the policy 
  • US presidential election.
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      The decision is influenced by political factors 
  • Ben Bernanke also lowered the Fed's growth forecast for the US economy to 2% this year, down from the 2.4% it predicted in June
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Fed decided to implement the policy because economy is not growing quickly enough 
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Draw a AD-AS diagram to explain the results of AD shift on economy 
  • "The committee is concerned that, without further policy accommodation, economic growth might not be strong enough to generate sustained improvement in labour market conditions,
    • Yihan Li
      Yihan Li on 14 Sep 12
       
      Without Fed's help, unemployment may increase or be stagnant. Maybe talk about Okun's law, which states that 3% increase in output corresponds to a 1% decline in the rate of unemployment
  • Federal Reserve to buy more debt to boost US economy
    • Yihan Li
      Yihan Li on 17 Sep 12
       
      Why using monetary policy, not using fiscal policy? What are other options?  
Aili Saito

Spain's Underlying Inflation Rate Stagnates as Slump Persists - Bloomberg - 0 views

www.bloomberg.com/...agnates-as-slump-persists.html

spain inflation rate bloomberg

shared by Aili Saito on 13 Sep 12 - No Cached
Tomomi Nakamura

Spain in eurozone crisis cross-hairs - CNN.com - 0 views

edition.cnn.com/...index.html

shared by Tomomi Nakamura on 07 Jun 12 - No Cached
  • crisis
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      This suggests that the article will be about the economic (macro) problems which the eurozone has been going through. 
  • financial crisis
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      It is an issue about money, which relates to the GDP of the country.
  • borrowing costs
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      It may suggest problems with national debt or interest rates.
  • ...10 more annotations...
  • unemployment rates at devastating levels.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      Low unemployment rate is one of the macroeconomic objectives.  However, the unemployment rate is very high, and that is not good for the economy.
  • bad investments
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      Investment is a factor that influences GDP in the equation AD=C+I+G+(X-M), and if there is bad investment, the I component will decrease, which will also decrease the GDP value.
  • When the economy collapsed in 2008, people lost their jobs -- and with them their homes.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      When people lose jobs, it will increase the unemployment of that country.  Houses are the most valuable objects that a person owns, and if they lose their homes it will have a huge impact on their lives.
  • strengthening the banking sector.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      They may be doing something to improve the economy's flow of money, debts, etc.
  • Spain also has an unemployment crisis, with more than half those under 24 out of work, and almost one in four people overall. Spain's jobless rate has helped pushed the eurozone's total unemployment rate to 11% -- its highest since the eurozone was created in 1999
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      High unemployment has bad influence to the economy of Spain, which could also have an effect on other countries of the eurozone.
  • The situation in Spain is developing like a "perfect storm," with money being pulled out of the country, despite the desperate need to stem capital flight and support its banking system.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      Issues with the flow of money.  Leakage will lead to a decrease in economic growth.
  • This leaves Spain in a precarious financial state, driving investors away, pushing up its borrowing costs and making it more likely to need a bailout.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      There will be less investment which will decrease GDP, and if the country needs to borrow more money, their debt will continue to increase.
  • money being pulled out of the country
  • The retirement age has been raised from 65 to 67, while public sector wages and welfare payments have been cut.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      Raising the retirement age may decrease the number of people who are unemployed, but lowering the wages may be a disincentive to the workers.
  • Academics and financiers are also wading into the policy debate, with billionaire George Soros saying in a speech this month that the "wrong remedy" has been applied to the crisis. "You cannot reduce the debt burden by shrinking the economy, only by growing your way out of it," he said.
    • Tomomi Nakamura
      Tomomi Nakamura on 07 Jun 12
       
      Shrinking the economy is not good, and that may cause　more problems which will not help improve economic growth.
Ryo Sakai

Spain goes from boom to bust in a hectic 10 years - Yahoo! News - 4 views

news.yahoo.com/-years-193837034--finance.html

shared by Ryo Sakai on 31 May 12 - No Cached
  • —Unemployment starts ticking higher. The jobless rate, which stood at 8.3 percent in 2007, jumps to 18 percent in 2009. It is now almost 25 percent. Property prices begin to decline, and the real estate boom eventually bursts, as demand plummets.
    • Ryo Sakai
      Ryo Sakai on 01 Jun 12
       
      Boom and the bust represents the business cycle. The boom being the positive output gap and the bust representing a negative output gap (recession) In this case Spain was experiencing a boom, but after a while they faced a recession because they did not have spare capacity in the factors of production as they use to have (used too much doing the boom)
  • the jobless rate for those aged between 16 and 24 is 52 percent.
    • Faizal Zubir
      Faizal Zubir on 01 Jun 12
       
      Because of the very high unemployment rate, it is very difficult for Spain to get out of recession. This is one of the reasons why Spain may be forced to ask for a bailout.
  • in sales taxes to get a handle on the size of government debt and appease markets.
    • Faizal Zubir
      Faizal Zubir on 01 Jun 12
       
      Possible evaluation: Higher tax may increase the government's income, but based on Laffer Curve, if the new tax rate is beyond the most effective tax rate, then in reality, income can be lower.
  • ...1 more annotation...
  • —The conservative Popular Party, led by Mariano Rajoy, takes office in December 2011.
  • Ryo Sakai on 31 May 12
     
    Boom and the bust represents the business cycle. The boom being the positive output gap and the bust representing a negative output gap (recession) In this case Spain was experiencing a boom, but after a while they faced a recession because they did not have spare capacity in the factors of production as they use to have (used too much doing the boom)
Erica Nozawa

BBC News - India inflation rate rises faster than expected - 0 views

www.bbc.co.uk/...business-19596233

shared by Erica Nozawa on 15 Sep 12 - No Cached
  • India inflation rate rises
  • Higher food prices
  • mainly behind the rise
  • ...7 more annotations...
  • decide interest rate policy.
  • central bank policymakers with a "tricky call".
  • government cut fuel subsidies, which will force up prices.
  • The fundamentals don't justify a rate cut at this point of time because the inflationary expectations are still quite high.
  • The quantitative easing in the US is also likely to push up global commodity prices and add to inflation
  • needs a boost from lower interest rates
  • industrial output rose by just 0.1%
  • Erica Nozawa on 15 Sep 12
     
    My Macro Economics IA article.
Tessa Jalink

Australian economy good enough to keep interest rates on hold | Television New Zealand ... - 2 views

tvnz.co.nz/...ep-interest-rates-hold-5074455

shared by Tessa Jalink on 17 Sep 12 - No Cached
  • out weaker commodity prices and the mining
  • mining boom
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Concerns that mining boom is over. This would cause a reduction in GDP
  • hold off on another rate cut
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Further reduction in RoI is not necessary
  • ...8 more annotations...
  • softness
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Economy is unstable, possibly due to uncertainty in mining?
  • investment and exports
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Increase in I + X, resulting in an increase in AD
  • interest rate cuts
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Interest rates have been cut over the past year. 
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      This should cause an increase in C, resulting in an increase in AD. 
  • potential for rises
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Very positive outlook.
  • growth and inflation
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Inflation & GDP growth is expected
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Caused by previous RoI cuts.
  • mining boom.
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Concerns about mining boom, global uncertainty caused business confidence to decrease.
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Resulted in a decrease in I
  • mining
  • employment.
    • Tessa Jalink
      Tessa Jalink on 22 Sep 12
       
      Increase in employment caused rise in business conditions.
J Hwang

China cuts interest rates - 1 views

money.cnn.com/...index.htm

macroeconomics monetary policy

shared by J Hwang on 07 Jun 12 - No Cached
  • J Hwang on 07 Jun 12
     
    -macroeconomics -Monetary Policy - China's central bank decided to decrease interest rates -however, the lending rate is still much higher than that in USA, Europe and Japan. -recently China decreased the reserved ratio as well. -Eurozone crisis - decrease in demand for exports - damaging to Chinese economy -previously, China raised interest rates to decrease inflation --> however led to a slowdown in economics growth
Graeme Lorimer

BBC News - China cuts key interest rates to boost growth - 0 views

www.bbc.co.uk/...business-18349596

economics macro interest china bbc Inflation

shared by Graeme Lorimer on 08 Jun 12 - No Cached
  • attempt to boost its slowing growth
    • Graeme Lorimer
      Graeme Lorimer on 08 Jun 12
       
      GPL vs. GDP curve higher price levels reduces spending and GDP
  • higher rates to savers and lower rates to borrowers.
    • Graeme Lorimer
      Graeme Lorimer on 08 Jun 12
       
      Encourage spending of money rather than "keeping it under the mattress"
  • more competition
    • Graeme Lorimer
      Graeme Lorimer on 08 Jun 12
       
      Good for consumers - more competition -> lower rates and more borrowing so there will be more spending and the GDP will rise
  • ...3 more annotations...
  • t's a first step in rate liberalisation
  • curb lending
  • slowdown around the world
    • Graeme Lorimer
      Graeme Lorimer on 08 Jun 12
       
      China controls everything
Yihan Li

BBC News - Australia cuts interest rates in a bid to boost growth - 0 views

www.bbc.co.uk/...business-18327769

shared by Yihan Li on 06 Jun 12 - No Cached
  • The bank cut its key rate to 3.5% from 3.75%.
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      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.
  • ...14 more annotations...
  • 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.
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      Both monetary and fiscal policies are used to stimulate the consumption, thus AD. However this has not worked. 
  • There have been concerns that Australia's resources-led boom may be hurt by falling demand due to a slowdown in global growth.
  • There have been concerns that Australia's resources-led boom may be hurt by falling demand due to a slowdown in global growth.
  • There have been concerns that Australia's resources-led boom may be hurt by falling demand due to a slowdown in global growth.
  • There have been concerns that Australia's resources-led boom may be hurt by falling demand due to a slowdown in global growth.
  • ere have been concerns that Australia's resources-led boom may be hurt by falling
  • ave been concerns that Australia's resources-led boom may be hurt by falling
  • There have been concerns that Australia's resources-led boom may be hurt by falling demand due to a slowdown in global growth.
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      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.
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      AD-AS curves can be used 
  • 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.
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      Since China is Australia's biggest exporter, stagnation of Chinese economy will reduce the export, thus AD
  • Meanwhile there have been fears about the recovery in the US economy losing its pace after it reported weaker-than-expected jobs data for May.
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      Low consumer and business confidence, which may reduce consumption and investment 
  • However, there has been a slew of weak economic data that has come out since then.
  • accommodative stance
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      accommodative stance = looser monetary policies
  • The country's housing market has seen prices fall and continues to remain subdued despite earlier cuts to the cost of borrowing
    • Yihan Li
      Yihan Li on 07 Jun 12
       
      House is most people's biggest asset. The decrease in its price will reduce people's disposable income, thus consumption and AD 
  • Yihan Li on 06 Jun 12
     
    Interest Rate and Macroeconomy  
Emily Hoshi

BBC News - China inflation growth dims hopes of interest rate cut - 0 views

www.bbc.co.uk/...business-17655152

shared by Emily Hoshi on 24 Sep 12 - No Cached
  • inflation
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      definition for inflation 
  • interest rate
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      definition for interest rate
  • costs pushed up
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      definition for cost push inflation
  • ...15 more annotations...
  • Consumer prices grew by 3.6% in March from a year earlier, up from 3.2% in February. Analysts had forecast an increase of 3.3%.
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      graph showing the increase in consumer prices 
  • set a target of 4% for 2012.
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      the effect of setting a 4% inflation (?) --> graph and show
  • central bank to hold back on monetary policy easing for now.
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      the reason why (?)
  • stronger-than-expected inflation could slow down the pace of monetary policy relaxin
  • China's economy grew by 8.9% in the three months
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      giving reasons to it why their economy is slowing down 
  • slowest pace of growth in more than two years.
  • markets such as the US and eurozone.
  • slowing demand for its exports
    • Emily Hoshi
      Emily Hoshi on 24 Sep 12
       
      point this in the graph 
  • China's central bank has been easing its monetary policy in recent months.
  • sustain its pace of growth
  • boost
  • cut the amount of money banks must keep in reserve
  • sustain economic growth
  • speculation that the central bank may cut the cost of borrowing in a further attempt to boost growth.
  • money at low rates may push consumer prices higher.
  • Emily Hoshi on 24 Sep 12
     
    Mr. Seldis: Is this okay for my IA2?
Kat Whatley

Inflation rate sinks to lowest since GFC - 0 views

www.smh.com.au/...-since-gfc-20120702-21bvc.html

shared by Kat Whatley on 15 Sep 12 - No Cached
  • Kat Whatley on 15 Sep 12
     
    My Macro Economics IA article. About inflation rates in Australia.
tom takakuwa

Unemployment tipped to rise in May | News.com.au - 0 views

www.news.com.au/...story-e6frfkur-1226384767268

Unemployment

shared by tom takakuwa on 05 Jun 12 - No Cached
  • An AAP survey of 15 economists shows a median expectation for unemployment to rise to 5.1 per cent in May
  • The participation rate, the percentage of people in work or looking
  • for work, is
  • ...12 more annotations...
  • expected to remain unchanged at 65.2 per cent
  • 15,500 to 11.501 million
  • THE unemployment rate is likely to spike in May as wea
  • ing global and economic conditions take their toll
  • on the jobs market.
  • weaken
  • the domestic economy, as well as global market instability
  • we had the mining boom which has now morphed into an investment boom
  • two exceptionally strong months of jobs growth, which just doesn't gel with all the anecdotes we've been hearing about layoff
  • he expected the participation rate to have risen,
  • but this would not have a negative impact on unemployment.
  • "We still think the labor market is quite strong and an unemployment rate of 5.1 per cent is close to the definition of full employment.
Adam Seldis

German Jobless Rate Hits Low - WSJ.com - 3 views

online.wsj.com/...3552104577437673615792902.html

shared by Adam Seldis on 31 May 12 - No Cached
    • Derek Schwung
      Derek Schwung on 31 May 12
       
      Unemployment rates in Germany at a record low Debt crisis in euro zone not affecting 
  • The seasonally adjusted unemployment rate fell to 6.7%—the lowest since comparable records began in 1998—from 6.8% in April, according to data from the country's labor agency Thursday. Economists had expected the adjusted unemployment rate to remain at 6.8%.
    • Derek Schwung
      Derek Schwung on 31 May 12
       
      Fell by .1% from April to May. Lowest since comparable records begann in 1998 
  • ...9 more annotations...
  • 2.855 million from 2.963 million
    • Derek Schwung
      Derek Schwung on 31 May 12
       
      Figures for a graph 
    • Nich Fabrici
      Nich Fabrici on 01 Jun 12
       
      Maybe a Phillips Curve Analysis would be interesting?
  • Germany's economy grew by 0.5% in the first quarter of 2012
    • Derek Schwung
      Derek Schwung on 31 May 12
       
      Possible cause to decrease in unemployment 
  • Earlier Thursday, Germany's statistics office reported a higher than expected rise in retail sales in April, which economists attributed in part to the robust labor market.
    • Derek Schwung
      Derek Schwung on 31 May 12
       
      Another cause 
  • However, Germany's Bundesbank warned last week that the first-quarter growth figure likely overstates the country's trend pace. Germany's powerful industrial sector will only make "a relatively small contribution" to growth given the still falling demand from the euro zone, the central bank said. However, a significant growth contribution could come both from construction and consumption, it added.
    • Derek Schwung
      Derek Schwung on 31 May 12
       
      Hint at what will happen in the following year
    • Adam Seldis
      Adam Seldis on 01 Jun 12
       
      Look at it from AD/AS diagram perspective. What might also be the consequences?
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