SpecialAssignments

=Special Assignment=

EXTRA CREDIT OPPORTUNITY

In the interests of promoting better understanding of the specific ( and often difficult) vocabulary in the course, I am offering the following extra credit assignment that will be due the DAY WE GET BACK FROM BREAK.

The Assignment is to create 8 x 10 posters that address the following:

LIST # 1 - Each of these terms has other terms that more or less mean the same thing. (For example, Cost and Opportunity Cost are generally the same term). On the 8 x 10 poster, you are to create a way for onlookers to easily determine that these terms all mean the same thing. This IS NOT A FLASH CARD EXCERSICE! I don't want definitons. I want quality visuals that show the similarity in the meanings of the words.

5 points per CORRECT AND COMPLETE poster (I SAID CORRECT!). Best poster for EACH word gets 10 points instead of 5.

1) Real Gross Domestic Product

2) The Natural Rate of Unemployment

3) Potential Real Gross Domestic Product

4) Capital Goods

5) Money

LIST # 2 - Each of these is an economic situation. You MUST show the appropriate change in the graph indicated as well as any other changes that would occur in any linked models. For example...If I said that the situation was an increase in consumer confidence and I was asking you to start in the AD market, you should be able to show an increase in the AE line in the Aggregate Expenditures model and an increase in MD in the Money Market. Each of these must go on an 8x10 as before.

The list is....

If.....

1)...the government increased government spending, what would happen in the AD/AS, Aggregate Expenditures and Money Markets?

2)...the federal reserve choose to sell government securities, what would happen in the Money Market, the Investment Demand curve and the AD/AS market?

3)...the government had to borrow funds to cover its spending, what would happen in the Loanable Funds Market, the Money Market and the Investment Demand curve?

4)...a natural disaster disrupted oil delivery, what would happen in the AD/AS market in the Short Run, the AD/AS market in the Long Run and the Production Possibilities Curve

5)...an increase in national income occured, what would happen to the AD/AS market, the short run Phillips curve and the Aggregate Expenditures Model.