Macroeconomic policies

Q7(d) Analyse two functions carried out by the European Central Bank, using the Greek debt extract.

Q3 Identify the likely result of the Bank of Japan raising banks' liquidity requirements in 2020 (money supply / output / inflation / unemployment).

Q7(b) Explain the meaning of interest rates, as the term appears in the 2022 economic outlook extract.

Q7(a) Show workings to calculate the change in New Zealand's average yearly inflation, given 2.5% in Q1 2020 and 5.4% in Q4 2021.

Q7(b) Analyse two forces pushing inflation higher, drawing on Figure 1 plus the opening paragraph of Extract A.

Q7(c) Give the meaning of the phrase 'monetary policy instruments' used in Extract A.

Q7(d) Examine two difficulties a central bank meets in using monetary policy to bring inflation down, per Extract A.

Q7(a) From paragraphs two and three of Extract C, calculate how much of the Japanese Government's cash handouts citizens saved, showing workings.

Q7(b) Explain the meaning of an 'inflation target', referring to Figure 1 and Extract A.

Q7(c) Analyse two mechanisms by which deflationary monetary policy curbs accelerating inflation, using Figure 1 and Extract A.

Q2 The Reserve Bank of India extended quantitative easing in 2021. Identify the most likely effect, ceteris paribus. (higher inflation / higher unemployment / a smaller money supply / slower growth)

Q7(a) Using Figures 1 and 2, compute the real interest rate for Turkey in July 2020 and show your working.

Q7(e) Discuss, using the data supplied, what another rise in the base interest rate would do economically.

Q7(a) By November 2019 the Bank of Zambia's base rate stood at 11.5%, up 1.75 percentage points since April; calculate the April rate, showing workings.

Q7(b) Set out the meaning of 'quantitative easing' as Extract A uses the term.

Q7(c) Account in two ways for the strong growth much of the EU enjoyed after 2012, drawing on Figures 1 and 2 plus Extract A.

Q1 The ECB restarted quantitative easing in September 2019. Identify the most likely effect for a eurozone economy, ceteris paribus. (smaller money supply / lower growth / higher unemployment / higher inflation)

Q7(d) Using the material given, examine two ways Mauritius' economy might respond as the base rate drops from 4% to 3.5% (Extract A).