Macroeconomics is a branch of economics dealing with performance,structure,behavior,and decision-making of an economy as a whole. For example,using interest rates,taxes,and government spending to regulate an economy’s growth and stability. This includes regional,national,and global economies. According to a 2018 assessment by economists Emi Nakamura and Jón Steinsson,economic "evidence regarding the consequences of different macroeconomic policies is still highly imperfect and open to serious criticism."
In economics,stagflation or recession-inflation is a situation in which the inflation rate is high,the economic growth rate slows,and unemployment remains steadily high. It presents a dilemma for economic policy,since actions intended to lower inflation may exacerbate unemployment.
In economics,inflation is a general rise in the price level of an economy over a period of time. When the general price level rises,each unit of currency buys fewer goods and services;consequently,inflation reflects a reduction in the purchasing power per unit of money –a loss of real value in the medium of exchange and unit of account within the economy. The opposite of inflation is deflation,a sustained decrease in the general price level of goods and services. The common measure of inflation is the inflation rate,the annualised percentage change in a general price index,usually the consumer price index,over time.
Full employment is a situation in which there is no cyclical or deficient-demand unemployment. Full employment does not entail the disappearance of all unemployment,as other kinds of unemployment,namely structural and frictional,may remain. For instance,workers who are "between jobs" for short periods of time as they search for better employment are not counted against full employment,as such unemployment is frictional rather than cyclical. An economy with full employment might also have unemployment or underemployment where part-time workers cannot find jobs appropriate to their skill level,as such unemployment is considered structural rather than cyclical. Full employment marks the point past which expansionary fiscal and/or monetary policy cannot reduce unemployment any further without causing inflation.
Rüdiger Dornbusch was a German economist who worked in the United States for most of his career.
The Council of Economic Advisers (CEA) is a United States agency within the Executive Office of the President established in 1946,which advises the President of the United States on economic policy. The CEA provides much of the empirical research for the White House and prepares the publicly-available annual Economic Report of the President.
A macroeconomic model is an analytical tool designed to describe the operation of the problems of economy of a country or a region. These models are usually designed to examine the comparative statics and dynamics of aggregate quantities such as the total amount of goods and services produced,total income earned,the level of employment of productive resources,and the level of prices.
Alan Stuart Blinder is an American economist and the Gordon S. Rentschler Memorial Professor of Economics and Public Affairs at Princeton University who served as the Vice Chair of the Federal Reserve under President Bill Clinton.
Edmund Strother Phelps is an American economist and the recipient of the 2006 Nobel Memorial Prize in Economic Sciences.
Arthur Frank Burns was an American economist. His career alternated between academia and government. From 1927 to the 1970s,Burns taught and researched at Rutgers University,Columbia University,and the National Bureau of Economic Research.
The policy-ineffectiveness proposition (PIP) is a new classical theory proposed in 1975 by Thomas J. Sargent and Neil Wallace based upon the theory of rational expectations,which posits that monetary policy cannot systematically manage the levels of output and employment in the economy.
Alvin Harvey Hansen was an American economist who taught at the University of Minnesota and was later a chair professor of economics at Harvard University. Often referred to as "the American Keynes",he was a widely read popular author on economic issues,and an influential advisor to the government on economic policy. Hansen helped create the Council of Economic Advisors and the Social Security system. He is best remembered today for introducing Keynesian economics in the United States in the 1930s and 40s.
Marina von Neumann Whitman is an American economist,writer and former automobile executive. She is a professor of business administration and public policy at the University of Michigan's Ross School of Business as well as The Gerald R. Ford School of Public Policy.
David Ernest William Laidler is an economist who has been one of the foremost scholars of monetarism. He published major economics journal articles on the topic in the late 1960s and early 1970s. His book,The Demand for Money,was published in four editions from 1969 through 1993,initially setting forth the stability of the relationship between income and the demand for money and later taking into consideration the effects of legal,technological,and institutional changes on the demand for money. The book has been translated into French,Spanish,Italian,Japanese,and Chinese.
Paul Davidson is an American macroeconomist who has been one of the leading spokesmen of the American branch of the post-Keynesian school in economics. He is a prolific writer and has actively intervened in important debates on economic policy from a position that is very critical of mainstream economics.
Charles L. Evans is the ninth president and chief executive officer of the Federal Reserve Bank of Chicago. In that capacity,he serves on the Federal Open Market Committee (FOMC),the Federal Reserve System's monetary policy-making body.
Macroeconomic theory has its origins in the study of business cycles and monetary theory. In general,early theorists believed monetary factors could not affect real factors such as real output. John Maynard Keynes attacked some of these "classical" theories and produced a general theory that described the whole economy in terms of aggregates rather than individual,microeconomic parts. Attempting to explain unemployment and recessions,he noticed the tendency for people and businesses to hoard cash and avoid investment during a recession. He argued that this invalidated the assumptions of classical economists who thought that markets always clear,leaving no surplus of goods and no willing labor left idle.
Francis Michel Bator was a Hungarian-American economist and educator. He was a professor emeritus at Harvard Kennedy School of political economy. He was born in Budapest,Hungary. Bator attended the Massachusetts Institute of Technology and earned a Ph.D. in 1956. He was Deputy National Security Advisor of the United States from 1965 to 1967. He was also a Special Assistant to President Lyndon B. Johnson.
Emi Nakamura is a Canadian-American economist. She is the Chancellor's Professor of Economics at University of California,Berkeley.
Geoffrey Walter Maynard was a British economist.
