=a GHAPTER 1 MACROECONOMICS + niceo Ban abutey — MACE q, igs oy & + face Pee wqsiasume econ yay tee a eN es ssaunarduonlavssa - déuNsHeou / don = SrubisouwoauTusns /aktoaity - amududulascuu Econ - fitia ganna Q Aim Pas Me WMO ( MonaPOLY) > Ruvanany CnsnoroL(stic Compenition) = gavsiouny COLtesrex? - amodvumreda CFAcIOeS marver) reldlve peice sim ibvuaueaaid Paice THoOkY - Ba dudhsiaor Qhnarnldasulae ovels (P) gaunw wits ul Taiaiss Aowiuduf aad az wnuInwooh pemany couded) + Baars nor siamsva Huon a aadvnmev + Gurecy Couns + edu aor Soom vw Much 04 aedurra dbT + duhqqansuwiovyoy a0 = gudan (consvmet oeHAVIR) Wivaer (rroweer fennmior? dass sw nen uisiovl ADa 4 B229 mDUt9amHsoxy 20 6 ~ Ava soy vs Connmeg > SOI os PRoDUCER ~ SWAesmu» coveemnent = mss 7 Leoon = meh Fiamliow, fustodseind suman Chace) GA (marcer ) uaoiluamolncsesy cma hush tacadms Cerodiet snaexer) = mara weer CLABOIR makver> = AMA (OL (money mM) marta = onan Connrtay my J CEtvaricval = amadnritian dias (FOREN Cxche: GeneeaL Price LeveL stunmdiail money theory - bu thiechd) amt Gagannnvnidy & Gnd Galo sneer geuam cans nen naa da avels ‘gnu waidu seWianinvsvon AV aavmw AscReRAE DemaAND (oda 392) Anusisomaaracch vw» Leas wae Fp Audiguar nie Bam Badr Fsledo. Feensetoony fe frowns utter Auden dau 99 enuiehsg 9. falduto avs warmqAvrn vounacsrs9 AGGREGATE VARIPLES (sioul572% BASUVs Hm Aman IG Ogi - pean ——> metet penny —_i, Sea Ive ; ae gl i Low eas z [Ne AD @ rennia = eee @honiee cles = ~ \ + ghnlsoug s gudrotsom glimsen subs afi means» moo NSA wou sui — msetoan + asim erowlsr9y > flows —> dni vhoiralniomuls > aeduirtvoar Shocks —> sit gown + tautustusa ia Miceo ecowomes ic Wa CE econo mic § Q = F(?,m,..) Q, = f(r, w, "> PRICE Mew au Dain * mn = money anion We wnre Aiiisitsoony SS & (Wacko ocononics PROPLEms) dhandlaithd des (PP a 5 a On disummednsisiey UNemPLoymenT Cmr919914): Ao c Poultdlswla Wits > Ais beoas peice oe - pont e wAamicy —> siorelacindt —> ciao tw ais 2 Fon oO shoved Sy aby PUBLIC FINANCE ( MuArrdr frum, vo paV?: any + wi eov © nv sev —» Vu TAK, Wy renumlitiy >Gr p a fiw avn. gna (oats, 1 @ injerest_Rare_(éiaontvy: Posi) enim? nruda.an ta osin= : ity = Fey ay ay tortag Wigan es ft any (ty) —> SS hearin ery son D (ft) > —? opp ft...© economes GROWTH Cosi Tam>olsysiyy » Eon ante & stata bel oa ae Berhad &uhnyr @ snrone OUTRO UTON (Mmreonuow toh): be CL + meavsviedaitlvisy <> BUMEY Wry —y econ Sank » op y x ory. © ImeenaTiona EConomes Cefswptars udnsdszind ): + MUM MIE SIVAN deer Ha anu © AnternArional ComeeniTiveness Coma ainrsa luna dulkart Jan) @ NATURAL RESOURCES CHIwernsyrsprasin) ; Kevin cy dad lid’ mesdoeado aoaituoy chendaesisan sion do sen tuarq Shiniory + CLASSICAL - inactoerononncs ( Aiitammd et @autioco modkeind Guogia wena ud sls GOV nteentamn Gon drytsa lums ede Wenwedo uaz hs : + Keynesian — macroeconomics (ahitniauslivreu)s Gov Ga» Semmunn lum stone V107 maoTetielsis . coy thitond (Ms tomas Gov wrange 10324 tila Case Arolw dian econ ht FI eo 02 toh + FINANCIAL EconomsTs ( ardaprsid47 eo io 3 yuoor ar» Central pan) i o 5 : amntiue bates <7 Sov laieangs => Gu unnenmin uae NmYD aAog, e « : dmnanitiy divin + NQo crarsica L- miceoaconomics Ceti nacaialud) . can ei as ‘sea Foy wats aioFenn ue cosmid. tivelmwnou . Te peman p SuprLy oa cre Sou Sie i hy ts 99 Gus Oimav? (om Clanic) eae ‘ 2Ty KeynesiaN» JOHN marnaeD Karnes Caml? >» danuda lsagerdafaumr Biya dat Ti Gov wnsrunss econ Mdkmunsinaaa » atone BumeTe a8 = mums & mros ns=qu Peman> & tswontsraamy Waxes?(CHAPTER 2) NATIONAL ACCOUNT @ nsciduyuideukiscuuiolseaay Financia insaiwtion >| Amis maida Gu deinweta, PUBLIC: SecTaR tua AiFinwmniy, (GY | "iteemass, + wsholots ugh (Economics ONITS) - Kohnucdonsany Econ whuny , ce + Maiolbozna (Economics 5 KS) ~ wine ds=aovesu econ wis Hanan Wud i tousenOLp sect Business (Fiems Re) Pubue (ear) se27| Foes seo Fd Ta = Sat 1 + twadhiumseder + enowtich weamr | div Tax anatiiba |» ab - vg \ \ wedhiinredn td Gov. Fodeunvednan | we PiRMs duns Auer fume lac FIRMS Aisiftve WA “davon Faibaliend | + enoovinadt fer endu(D|+ vider Bast | pleas » bacdsrund Suir ty uss (W) site) Sv £ ofa + FAaSumdnam | Sau stalin, mitt ts = t O700%y, Laudidislaty, + sbi hill Akai wedar «tele sae aM Pleins eel Diao IW Stausis Co maifan — P titsweltyoena w al R Auda S mseoas # ated R away R 5 & : fi > T oan ? i Dy Rares ae Te uci, 4 5 ; route a a ; 3ywa e JT; atnsin gy git aol, i Aieeloaan J M mova TR Sufow Me Th iow SR aid Setudd oR iene Rkdngiloa (Leakage, Withdrawal) | A din¥er CInjeetion) wy 4M Wes AI Nt UDC, 9 s1uloWits Tuapenwonascitusudey s ahivoaba tic Morbe5 /abar 8 Aouh BAA7 bios Wh doivnveso 8 MS0y TAX mshi | S sismnwacda 8 sid aly ios oie rid unin, a Mason mole haciion FIRMS Hmade, (3uhere bu onnuatoean lie S474 mM i a aa Situa = dougada S4+TtM = 1464 Aunrionanun Trade Balowee( X= m= (8-1) + (7-6) eanseh Haawdiinm Aovontu. Mary (K= th) Curent Account Balance ——>#)SURPLUS “Caan huga) Cx > IM Wh gga (5-1) Private Savings Balance ‘ QPCELCLTS (genres nasa) (T- ©) Government, Balance ex ws Bunty budget © peoncer Cdagansei) €x = + msasvrn lay snamarolseata ude a am ieass acca totsugty Intsoy fivakdvunis lena an, w=ioniis Ex (i (T-6) = 0 baiduan rena Tuan mraie 5s @ 8 oes Os amas oh dryoa 710 = -10 + O > agamrdivings — dunk maou. banda 5 = 5 +O = ganverduad — dyunle mada. done + uinaamseh sudwo theind dunn Aawiin diver Mamaaesy & ately 7 & a (Km) = 0 + Gamaiduaa O = 15 - 15 ——> lonurias 45 ayavona 45 O = -7 + F AF Pwdehum 2 wavuvnga 7 * bs thaaa (SuRPUS) Yeudatyunduwta naga Creric ts? 9ecaduta > Bubosyy . eww Ceniish $+ T = 146 > {aly ana chavend wsdl + sew econ th Lidey S = T : iOO Tl (NATIONAL IN COMe: subi alr=hd (awit = swvtay = samnauhiaswuy National INcome ulin DUA): axadhryos Hadras Wasdado tio Fidsevnsano dss ind ha edo h S busveumulle Chdda 1%) BA uanvad guld wn Wevinndizind sox iy dhin Ile Ab asi (Nodal Income) luchnanay Hyatd eatde Whol NATIghAL Income ueabetilk 3 dean @ GDP (Gr955 Domestic Product « esdmoorronoedbzind Mowry) @ ENP (Grass Natitnal Roduct : uadnur bvidid ios ) @ NOP CNet Domestic Product : wah awhadscind tn’ ) @ NP CNet Nato! Foduct + edna thes’ fd) © NI uo NWP at facin cost (Nesiow Lacome + swhiiedir') © PI Cfersonal Income + ssh souvona ? @ Dx (Visposatle Tneame : awl’ lthy brads) NATIONAL INCome_AccounT Cintehibesid): das disind Soria Rovinindaav ne econ Sw] Mo daeamsdubins ws MwuAuesy demd | Aninw far Tou nootyitlsednhe Annan ance Assams sewn bash fo Aaa ane NATIONAL Tecoma 15 % 33 Evancone Artenctl ~ ax © Nl AY Toy @ et evandouca ExPenDITURE ArrRiAcH ~ s1¥9I¥ @ Popuct APPROACH : chaniuvemaSa dove luudts Art © Aauvuaacivadarine (Final 45) + dauuugradriny (Vale Added) wodd Phin ravnsyanar. Ga preach - acter 4 Yaminy = yReny = peter opp = Z.PG; GEES) ist Rud wy ianany aed = (P,*G))+ (Gxd,) +... whe 10 4 6 wats 2G 14 aA Ey Bnd ina, Spree @)_2o § Aen. eons oes— © Ex fonpi7 APPROACH : dicomiunyhy > dearda EXPONPITURC APPROACH + ducoudiussry i SEIS pierre Gpp «= C+ 1+ 6 + (x-m) ; aa. as aaa SnchisnAiuud UmPtion Asem mra} Janos sa iendu feSididle swhedand P Li Investment. Savtivt magn «ia foda af fash sods Moun Lal C Gi Govt's Expencliture 1/808 C&T wo mass ry Arto Thad: ubbalssy Bau ~RoFoRuciaw intootas Ne LTy ~ dowd Mucus Scio wD (ee 3s) ( Autumn ~ Mudie Nic t Net Sxprts Gc- mn mevoman) @ UNcohe_AIPEACH + dhuaniy SI6f6 > donlshoy dhiiuld 2 us) GDP = WHR +14P 4714 OR+T; 4D + FACTOR Iatome CF) = W4+R+14P4P] + GR > AT suaro una andefund edn red ander tev cre + Li Antecest (ety: aoniiysudnd of aniivsu— andedy Pi Corprate frtits tibmouddn ilu gum profits Cianiy sake P= ban) + andlsuladdua + Bua udtn + Suiloa erase ae i Indirect TAx _sitomodo0r =9{ snbimedoy — Degruyt (udidy) ) @ (WATIONAL INCOME Yadinad wAednarves sugary Fadnludand Ieiuaiiyhs srolus=v2 uavimuva (nddn 4) © Crelude + uc Xbidiw ona Aanguny wotdars ty dundor EN Gop = C+1+6+ Om) | op = 2 FiO) Gpp = W+R+L+P4Pl+ 6R4+7;4D * an euesdtao Spr = FI(w3) + Ti+ D - dinbdand ibid© CHE)? gahrew un Xutriacwassiedniiu Redadientnansi dint Vihairivedonlan aw huatiduun (hd 499 GNP = GDP + sulsdnboncins= nd + swhddmbontudsund = nuldeoatuadiny _ sili vao envi Vesa send : hudhand fro 9 () (we - spp D) SQM) (we = one -p ) + Undru D: Demesistion Gnsoasm) mune AauiteSalsiuen 9: sald Yody aingk haw Te © (NI) (NWP at ctr costs) * NI #0 NNP Saamityunredn ( xaniomana = aanihiy + T; ) NI - (anilthetuboa 4 antswhiodin + dihififetadss) + ion + nenilod fomiine + swvban felons aine (aitletamay + aavitalin + Aibsalvatsiadir » Bul, ee dnay sot Bila maddened } @ (DD > vdeo duns waritladuntolreds : es nd Sile/yaaa Byr101 @ (Pek Carita Income): avlendivawuaen > wscry fuubevnr + {Per Caps GDP = _&DP feal oP = Peel O17, i Population Fer Capita & Population fer Capita ONP = _GNP * | ODP per woke = _ ODP | : Poplin worl+ a Tui ues iohito ws EDP (s2utbelOpvadnetaehouy) Siar ae \ | + Labs cvauid Seve veenaa | | * Ga quantity 122% quality | uses Ganans tm elresdosuema ley Samsidatonudas {u short-run Te svu oman esos Cleisure) veonssinu ‘Vid¥ourtuu dushousend Tals rvuroorsin esous Cleisure’ VE Waschuan te L16iiy wailusio environment t ams Sasa telees ho : | “ ee eee ae: Shae 1s phim oti Boda ciodaray dows os Fo dsddas fy la io /luvanwm=nv 71 | Sa dieNadaww lumeudea / m» Liaeanenyon money + ROAL GDP ( anadinurismlish= wel tin custitais) —» siaumsenuon more NOEMIML EDP Beasr money POP ui ODP ney ale pave vear (ism > 9:1 reice nex lo goa eve Lisooduunton a a BANC YeAR 1(FRICE (MPEX =109 i4v0 > H Blse Yeoe: (NokmiMaL EP = ReaD GDP lve TW tice moex > GDP vercamoR CobVsvenedemury lunrur Roa EDP & Paice dex): iets ios 2edvovm vvtlathto Kevey gue @ GDP dercaton: sol Fuanedadnny + dams iatunias v9 sienna Gos Qseruces vil pw © CPi ( Consumee PRCo InDex) : Gif stmeudTnn + in misiunlas 9 yornievde aayiTeai®y eons 2 seevice Bute | ® eel (Prowucer Rice (wexd1 AFlisien cede aan + 5a MvalFvailas vod aievinadvstog dierent eviews / Pr 6 ® (Waoesace Pee _NVEX) + SigiKsren vives i | rel—scpi) | Jonvwarwasvs padud vex setomufiunly Wea Caos 7 RAT2 : Sonduwi ed Mii...Poe mun tediuy = 400 Fo > amatud Yeu Z( fox.) Qs = BawAuarta basket Inu @GPP_PeeLATOR): chovsuanedatnes + 90 change ms magnet meio ud ubas evils > Muar anshalee ite mex 3 (Px Bo) GDP DeFLaiog = Norminae efor loo Real ¢DP Ansa tude dams t oun Rear epp 16 @(CPL: Consumer Prive Index ): Ketsrmrerusing + 90 change oo simmmvda ¥ guans% xevtlyn + Basket (osnsdiei —> urhr commer Faotlsen Se Fix Bom rl oy Bare Year Cpr = Z(PX@aying | = Cort ot basket E (fo* as) Coit of basket in base. Year x(vd + Cri = 400 idly gare year Cost of basket 216 & year | soos | Gans Peas | Prove PZ. = Gx) +(6xs)+(05x 9,45 eats | A 2 0 | a (2) (553) 4x1) Nort of barted zors r 3 5 = i ees (es : s = A258 59 = tHH0F eis | 4 jos 6 4tae reer torr —> CPT 4190 tos = © Transportation & Communteetion @ Food & won- alrholic heverayes 1@ Eaccation GEniertatnnart © Clothivg & Frrdwear @ Alcohol & Tobacco @ Uousing & HowiebstA servicas @ Migggllancans goods & servitos . “* , Health care“we > cpa ms vv W 14 lumrctiyoee a J —> CPI iluicttsdadtastfn dr4sTH/anns +e CFI Junisur real value Cyaritum’s © WE CPI ur eal incomg wodu 4 wou? = A a i veal value = formal value real (nsw aaa Ia pC Cae ee i : WW cel ut want Bu ay da © AE CPt Ur danwueto Cintatio rata? Seen A oa inflation ee (“m= Se we se AmounT iM tole = Avount in x Clio — 199 ee ce P Limmatons oF CPL —+ CpI Fixx honirovinindy man (FX GQ) + cp 5a quality sie slut cer ovngb iduads Aixarivanad Soumya Ya fT ea 8 T Eiautuatseals Gal San ovaulaeawlaa aso > rabstituctton BIAS + tos Sidr asioves on bite coils ees cer ood drgiydsais . Gusenn 019 #340 Maal Aol £ Ree 4 S01 Yo Auniod v ‘P CPI vs OPP PCELATIR Opa + 3a quality Aud Tata + Fix chase P + Auch Dano foods EPP PePlatom + 9a amality Maan Talley + Fx P Cuanve Q + Huon nowy Heda hurlizind Sousaiss bs lotssoy vow asediw) @GNFLATION RATE Ys doorducclo PRICe_ int = ty Tnecarion pate Pex Yo — PRlce inpex YX x0 FRce Ihnpex Y + darn CP (GDP fettalor Teh CPI Ye = CPL Ji9g | Tntation = = GPP tet. Ye - SPP REY Scene eereneenmeee neta Bate ory SDP Pet. 4 a i> h_AmecaTion kare Waluanctog u)_IMecATION kare Ith alam cy + Aven REAL tureterr Rae Coan asaya nio}oy ————————— =e Fea Imetet tare = Noemmne tmegerT are — Iu FLATOM el) (%) (%) 7) ReAL Imeceri RATC Aono my dowd. / ibe Loar tee CO MH eOUWDE / hag > Uv ounii two c as O— an Faz 7 hairy > it univ su 7 IMFLATION Kate douacio my doaide / fis HibH —> autioas / jo: > amiienls 2 due Tani devuno Inflation Rare Mts ne Aw oon 7 Tale’ Ray > tuto Gian ) Ue + Real ODP m= Nerminl ODP Wk LS 100 fu 1016 > Noemnme * Beal Tt ute Romina Int Modovitold 2 vy * Feal Incone ise Nominal Thowe Ba tio, th fee 2009 + dow i ibyiBu9 6 F fay oy vw: 204 v Baomeoi cP) Mil aor Bs 1009 vestotity 40g Wt 290% = ear CHAPTER 4 UNEMPLOYment + sao (Labour); Uaoamog lu Su mien, Ctra : any 45 W thd * fhdouons (Labor Force): south + anu Adio * sort falay laf usu (lot ta Laboen parce) 1 ite auburtinuy {a udosuny, Miheag Avvo, via / mnt / wits / sno * Wao sores (Ewpbyod): ov decsons ia: gad Precane Alaura nin + wad Wnemployed) : faidout wnmauion wisaveniny tilsSiris © Sopedoony, Lisa tynest Rate): + Ban mSaousy trod (Ls tirce Partteipating): Anse % (aan W000 Bors aris Hoordneny L Foele — __Lapone roece Unemmpeymert Lnamnraren (00 tare Apuut eae Rate Lapouk Force Favouh > of pudinunee fo+ NATURAL Rave OF Unemmayinent (Sado 914 ory ossaihdy + SaadworuFiarso2t chyou evRusur whag sy % LADOIR FoRee i PorLanow = pout Patustam + Forint Trarioan : LA fee mo Toy Latall NareRaL Fare tetra rr te Ge 2 c A WNOWMAMoAvaO MASI — sername —» aofrun snnuldchumn wahounions dander dood ann aut Jong] So uduideafanbtaalaidtvur Is Youu wosasa o ne) Q « @ @ A SIRUCAVAL_Vneraploywert * Ohow’s Lave Capvliqu) : wm) musace 2% ves Leal GDP damnwunuo=iy 4% + Frictional Unempoymort Casson wel? Sonu waza Voluntarity Unemployment (mdnonalarA¥ashrs wireidoren ute iad ofie alka 4 Structiral Unowploymest Covinere tosruTanctiie oln.): Wad Qs >a, (>be) Ge Yea — WN Peerecr meanuee > dasvuilsunalefeaso7 Msdomns (Oovernmen -Run earLorment Asencies) Bloom tbe (fublic training Programs) — pur dic finiu aussi ( Vaempoy mest Benefits) ao Arussied1 (Mmm ~wace Law) O,7 Wy L sy ummwasions Conions) > vilidauludim Tada T4020 Ys ECTS uniauvon daw ol Fur * me Unions Gehtuldh Ihondzow woo dhiunw diidwtmw (EPFICeNCY Wares) + Doadivavind ad EauuipRum Nwerawsyr 2 uta dram ~ sencultiqon- Beniwsnudi Youcmaid — ered, ¥ way 5 Unowplo met by Age Carina Taraiy )i upudinan dae Cau Bofatonen) dwsoGudr & duanwusoonrs & Fino Aadaw > a STEVCTVAL vnemecormenr nshyoumttadyur A mii awn un iftchuumr _yown asav econ oat two wa the, Aw. Wotan PG onedisyr } > Natural Role ot Unerpeynct omnes(cnAP PTER 5 ) PRODUCTIVITY 2 eo © Gow LATE! mrmuiiwe Real &DP Per Lapita > + Real FDP Her Capita dno aemwirin (Livhy Standen) + PRODUCHVOY : romarnanlamrader vor wana 4 ar (L) (OMT FED (Ce + Real opr) (y= a dQnun) = 7 Nt Netaral Resources / Lt ef Labour / A+ Techwolopy baontergo /H? Homan Copal / Ki Physicel Cagftal 1 Tastos oa I Ast nk 13 TPL ranvcnwr ay Linins Real GPP ) oe 7 STAWOAED Per carne J . Sreavosniny of Livin FTAKPARD Mm 1H Long Ru / + PeoduetIVITY —> Xeacio Trond ws opp ices (one + Hohaioarh aura eet ae @DP Maszuznd BanviRy PRODCTIVITY + opducdy ASAE, N sediuiiey PeovemMty onde L. > illucctowar LAW OF DiMIHiSHING MakeInAL Koc: HiatmauCL) enero uteltusle OWT | pipcike | pimmisnve FAVE OUT | paid | emectnntad rate Wann Ce eae Fay | a | Cumnnere tower @ ToraL Prone : MAesinne (RopveT (TP) (me) { L ie + Diminishing eerven 70 scare: Ow focr 10% Outpt wu 3% + CATCH -UP 2Frect : azinditsor Productivity 9= Fo Fas eb away + feopucriviry de Yi dota Ks) Arla KL, Ye, ML Conay A) Productivity %& Luvs STAWPARD vi Vanya, A \ + FrobventviTy when edomn ares xFiAowao'a Peopctviry ® Ke (cop Per -worier) At Preduclvily P Livdng 910. » muity ¥/ Nan Lae zt Law of Diainishing Marginal Product Yo (man Cayital Fer wrker) ) Yt Ne T Lia, sf + omrinu #72 MiléTao a)! + Huma carted Ae Knowledge , kil © ML (Natural Rewaces fer Worker) F Brodactvity T Livin ne Oa CTechiobpy Kwadodyo) Lat Per Worker Navy Yociety chirp) + thin Qt Sommon _Kowiedge, —» om Ti fey PEOPEIRTARY Kyviedse > Radtas Clafunruty) | | G(Ametoving peopletiviTy @Gavine k invertmenr) (EM) mA ANCIAL | Loan ; A Sunes une) oe ee [verern) a var oy RUE ey + Gon TeAve OFE + tavine —» LuouranudTaaltvasity + cout y\Vaslnawe | . % InvermenT 4 _— Fumie consmotion SANS fl Consumetiov ©(Grrca=we errect_) ) | + theind 290 92 Tn rdcindte wae (FuductD\id + Ye vathenddlaw wwe fradeclivity snus Armd Gu TadwanctsonO(lwves7 Men FM Ab EDAD) Trodudivily? Woyost (14) + Digect wwestmenT —> ae Carpital (Physical = ED * MMETEOLIO_lwverr ment. ogy initeasnu iy : andy AD oidby AvmnamAvzid drisewd orne Snadsno Kay ORLY BANK > ilu ui dius tad diintenn /euty on qwathind nas @ (EQUATION fodecliity ® Wyo (AD + Sh tate-oFF Feudal one ie wage 0 wage luownndons SD PEALTH & NUTRITION) frmluctinty Wage GD + audvanw fai ou mac tblit wale Tala Anuasd4nseoonas O(fhorern KGHT & POLITICAL amABILITY) 7) ) (ad + Aheaco sails Ianvarms Cincedive) iazdnd madedat lan + Gudbslddov rina Sian Fabzurs Yaa oy + CORRUPTION! amity misduwiniss Tuco Sao Paduclivity HHS @(Ftee THAD) + eLidda (Odward —oriewiel) seuily war ecomomy / ancora /Ago + fiddly Inward oriewt od) a TaeiFF Conse) 27. / inisusmy] + We commRarwe anvannee tnatienosir Fuedud BED (Research bk Development) + Kwonledkge ~ Fablie Goods nes recearcly cae > fatent Law » BRD tayort, basic fess suyprt “P aethnccy lof OW GROWN D_forucarte cei euemmetent « PorULaTion f WATURAL EerOUECe? yk ~ Ossie _Exteenauir wie winvas ado Be + Rao nvilawa Hioy > wom Sn ‘ saimadaoeay | + Fyossdordda (wae rive Gx: Sade SF ogni om Maviv ogo(CHAPTER 6 ) ConsuneTion saving LNVESTMEATF ond NCT EXPORT + FACIOR ashi @DP Tay szvcer (Log-rm) —» PRODUCTIVITY + paCTOR Hike DP Taku seve (Shert-rmy » C, I, 8 Nx S ¢< [_consuarrion } > nsbForw HomsudSan wemannsu le ue £ udoy, ucdorny ae mpl dabeav Yh + wivanalfan [C= a+ big be mpc™ = ac s a * Yd Dispsabe Sumo swe aad aa yaaa oiled) see, ‘ Y= Y=T) (bi = pr -7? T= TAK t + FACTOR ditwactn C2 downto a lusbadanedTin = Real Inne : seduswlddhetrnd bu 100 unateo-) lanes = Tex rote: davade duistows Bolo CYL) ~ Prico level: sicliviuda emamsty Foiovas + Real Tucome 20 - terest rate: anativgis + euarnooy > uiTansiicar ~ Assets in houtekdd: Runtutgud, Batwidmwases do C% - Future Gxpectations = manvaisy omc CT = saving: SP CH Savng ot Contvaton = OTHOR : ARC, ADS... ahaa felis spe 7 Jurong 3 we + Hib cates daviTaa@ 7-8? eS Ue eae a C= ax bYA 6): RdemTnn sable tie owloiloain, “ qi * c Ao 45? ¢ uc © + Blo a wien Gotan Ct Be ONS, wll ati Cs sosasXe e Cz FOr OI : é ae ¢ Cg + ob a 5 - = moma Cues | CO: 50+ O8 Th Md C4: GO+ 251A> PeoPensiTy 10 Cons Wine (oom hindus lemsys Tan, © picpdassas Dams ula woo ae one yd2edonas MARGINAL FRoPensiry 10 conIvME | + AVORATE ACOREUSITY 1) consume Gow hia Seouioudovinw = mec) ComivuBomay » APC) Yat mee ont yet atcy + Mme Mo do leiSu Cue) mut 4b aeudSan Renilus Mee de Poruturoidanvidian Cdr b lu C= a+ bYL) + MUSH Mawes s2diu C Iam ousy —> wv C > du EDP WWre Med Sedocuiudnvision me dretuiusiackigs Saving )>> ms00n ®axidrutornmsTan Yes C48 + whiiiumstoa (S = Ya = ©) sto msusJaarteaciomseny { savins & —4 ) s< Favee @nsvarrion COnTUMFHOM, + duowsSSnn(C) swt Wu aumvasy Bou shift aa sm Phofensity 19 SAVE _(oou Tieu¥eo'Lav ova ) + Marsal PeOreutITY 79 Swe = Avetave PeorenriT’ to FAVE Cronfizudvo uudemy : MPS 2 (oow}iviteo may + ATS) + nts A> Bo siskivtle 1. sctouira whalur Vg t AS PAROS woe A Sidanu ye nrs = e + mowtentud (nos + mPc_= 1) we (A+ AIC = 41) + Msooy Auf ums arn Mano maids CFinawinl Market) = + gat » Ctst Spt Reece alee s : + ew sehurvaiioy wh ei luo tobeyn svn wstinda 440-1 Ya Say = Beane> Neon sAvinns (Banevserhily y Sumvorbemd — 9s, y= cezeu su *[Natiown. sAvinos = FEVoe saunes + PUBUC Samos) |” [avon voodszind Guindy bias ua T= Ax S = (y-T-¢) + (1-¢) sifu ae _s J (nieery + @imdguin (Mile save) Avuada NmioMAL 9. a T-6@ Vigan ST Coeenes 76 vga Sa (KOT) TZ [tmerrment] > Wdviturnits mses rosmnnlu tediis Copitl Ginds % econ mi Foul fads Waleraons nove fai Capital Gooets Quah s) + shidamanne raope = magalde + mayeonagh) (2° I, + 1) masgebiie (At (elowue aueerinet ye Aan tun zawneas Deiteadv ae dle esque | Taduced Tuertmont) ¢ madouie Auav aunele lain’ (7 Bh ncladbedwhd (1) Mala 4 ¢ sony ana (iz an + tacks W¥eaca Z) = Incond / cuance in Juome & sdimbidhentid (> iY > Amegest pate 4 aoweds FL md Cow) = SAvINs > tuAdoidk Ronn saan ms0% Gontividug Bo { Mer - Tech nOLory /TunavaTOn costs somaya Ta = TAX / Govezwment POLICY = Fuge exrectaton -y bbeghe-lid Row 4 + mrsaoyis Osan douulcunlas Audinar’> (wor tel2on winuide fue) ; 2 G [ GovT’s conyumrTion & Iuvertment Ey aiocnaeee + qaeuthzann, (covr's avpeer pALAnce) 9 (T-E Le purver venesrs + msiiy GT vem OPT lumrinon seswibetvd (Y> C+T +5 -4NK) (NX [ner exroers | OFA - 2a = (xm) + muita Gxmvers (XE ne Sayers (mw) L oehle GDP t um « wobanila Nx =o B&Q+ vad sono nircbonn (X= Xa. + chitaondushnia (= mat we + Xq « mirbooniladaedy relidbevit ) | + ma = duiniddaremy ¥ * slye =O x m= ae wundey Yam oo m Armee fp sacl dneyiid mifehr soma exes tan awwers + wht Nx t eprt ~ NK ee tor TMOAT GUM] om Shh shit —coeon CHAPTER 7) FINANCIAL SYSTEM © ANCIAL maewer : mani bw scudss ORaiBuudd fu Grotoms WiduNiaeaK Monee maecer Cosnaiba) : How Munn’ armunden reve Tu 1 dundeante | CAPTAL maRwer Comey) + Youw Mendvi Anivosorets aareioevews C1 YAN) mndrsmomsdsaney Securities) Roomy xSint endao wanouimuntnnvandtuandis Uuxoraoncs FIN, mene Sivtdathnoourine ava Muomshr (Sdmuad os d>ann) + FINANCIAL tastivTIOns | Amfumsid4 Reavmonrda CFIN. IMTeement Rie>) + DOROSMDEY CSueiatw) * BMINGT/ TF15// duns ood CREP! Vions) + none geronitory Claficladu) + tildama/” ‘oe RR aoe * FinanC(aL Assets *—~—E «FACIAL manyoT eLasificaTon Fanc(al maeyer fon soce ne (. Foee@n excwnvee. a Conta aa sDetivmnes | « Wasnt + feiSudues f Susi aol a Stn vslatns Bem) iva mace efi Claniuasny + Gustin + puede” + Pivawcia, Magker Sum - govlunvidulanmieal (Groh rate 1) = aihignd nw Haat = atdicy axoaty andra avagsia (Sys. secio2) = Wilivlorgio Tous 2X8 a fans aide Annu 0107 (honey tnaewor & Cariac_makwer CHARRTeESTICS Money Macieer CATAL MacueT oe tnewdeere Co=saonauny) | wood 4 4 Oval o fuerore of FUND ConbediA?| —tar4 Conds bo-vw sont la Copel Conds © USK Canady on Ady oat = CORAL BANE CPCT)IS? | + The Heke Excnace + CommetcinL GAME (SET) 0015 + Finance COMPARY CUd4NH) + Jecueines ComPAny © SFL 5 Conitu, daw, fod.) | + MUTUAL FUADS (n292) + CReDT UNIONS CAuuncorsid)| + Pension Funns (a.tiay) + MUTUAL FUNDS (Aommus9») + TUsWEAMC ComPA ny o FW. 2aSTITUTONS Camdumnd > © Fin, secuRmmes/avers | + Cathe Caden + BONDS Conduit) Contienomrisuy Aas | * FAVES Accouwr Cnr) + Austins 2yma Rta) « FeeD Acc (winhedt) = tag DGnen + cukfeur Accor, (Macdoue4) | + Common stock (yuaty + PEORIGI0eY NwTes + PREFERRED stock (UL u3uid)| | (Payer lfisu) + ConveeTinLe Tecueities + COLIFICATES OF O2POSIT |. Rome esrare Ceduunduirs) § ho Gucln Camus taefaren) Coatat TReawvey (ILLS ATswe > andvisy TE ou (Minty) —> Prduod> —» Gwaawds 4 2 ae 2 (Carmac m)—> Tunisia > xem 4d * Donen drsZsuia fo choomstssuon dosisy + aes ee Tapa in Haale mds ondeun le Colpbuads, Hudiins) siosils Amutunisdurfidic ae He Beatle cenvimnsunits ys. 83 ua Porlavia-wanrad —s sim GOT (bark of tatlad) + angadly > dus vu dinar fur @28rexU 1000 L_FUMPS Crosmuss2) + ssydy ido shh aonugo qe) sea fad Camayuy / odour (omanu) (whine). — \ : \ oduTV Ty” Gudhasnssin ‘ ! (capa rout) Bag wm Uadunos aust obeRt roonaaos Rove OF FiMAncAL ust ITeMIM «fou sverLis unr av peRCUNE dha SURPLUS UAITS Cron duwifar au Tobsehy, xt - ionSsWarwaco \_ sf iio watr canto Sivdhetou uarqu (isaequ (G9 eranoving ivr Mauda Dericlt unis Gvansiani3u) Somat og sDwwidu Gavan + Guaoe ilumanveolian0 nn © Demand : lercit vit avciondy 9/4 + SUPPLY + WRELUS WAIT Audosnv 099 two DSuus’d ———— + Tmerest tme a sanws ot og aa Fave CH) &@D sav sucgntwes Supply t @ Sut cy $e it Yevard t 2 tom @® svvernment Purser periert (FuarLus =» Pubic: Sunes * SUPPLY = SAVING (5) = PRIVATE savinGs + qroue SAVIOT (¥-T- 0) \r-6)7 = ch fusuic savy Mu > tuyser vericit > Suey & SY Mi pupLic, Savinés id @ —> woven were —» wenn t st + Crowe OUT: puOveT necieiT aziin Ceow DW OUT Thozev oh. nuy tla iwacnvasmu 33 tea Avpsnumavend + fudeeT_O@FICIT Cinags) > sea utd am= andy > Hasna oqid ito Inmiatesaw econ 10) Guvser_“vericn) 1h) tose FvePLy) $ a ¢ et rat Su ithe iY mvy @: Iv $t ana v Gt out ayMONGY » mMONeY SuPPLy « $ Gh (Water) : unfivsabsuamudts Iusruulsugda 8am Dune Fino | ‘nu Gesioiid Berman bee Sdnwedoododer * Commodity money / Fut poe b money : Imnidivedos (ws vo vit? + FAT money / Toren money; woe fuser avhum Deidieh fasie (ove wry) + Budhaustsy valid : i (4 Currency + coins + DemAn? Defenl m2 = nd + ppantvi + aladett m2a = M2 + dodverlibu ino = mea + Wudnlu Fis | + witiveo 34 (Fonerons OF mone): © dors Iumsusndvou @ tanoviayads @ itharttosdtecbrayaeh @ the smog avtiradl 8 ianadu Comey suenx?: Busi erviby Ifumwidea aviebosdo + Babuluoown: + Bana duitdrnd asso foo Titania Tamil Ct only? + 9295 tides msluaise worianudy, Tusevundseg.to (thy dazu oan Ia. sworn fuse Fac aldara tu latnass 16 ener S Financial $ec70k Pere Level: AS Om sere Lene snncpest RATE denum voe Banani ovo Neds 2200 untiin Danube nd Sasreorsdypoms anes)» nk devovldea tet sume a in < ie (00 A | (00 A | Sein ath, condiuescent + 348 RANE aonntus’ web pang. 439941399 popant oe LIAGILITICS © Guoka Ce pits) Mouitns Rane Demsirs $400 + uA dui ganic se sae & ihe apa! pane + RoSetve Ke autemenT (idudedinen?: Wax vowdvoniueluan vou iafa San ozanfuunnunguns ( Reserve Fatio 10% —e toulntnne # (00 —> tone ah 490 J + honee _MWWLTIPLIGR Coon ibveln) ¢ Tahwast aeailoun Bim tae BAN ndain Wisountthion 440 + Blowllitby7 Ga 4 109 tenn o> AF 143m weronis + Moun Money muctiriek Con? (8 — > Bank), eu mnc@, > _. CMe? J RR = Resme Requirement (7%) inuany nda Ase Ts Lagi tty we wmsna (ComPAL panic) Uadurvedand $0 | theonamr 49 : ans wtolseind ing COANK OF THAILAND 1 POT) 4 oucallusneasnay i 2 wit wotiernms Sallgseherst ie be of pee fe ‘trav hentia HeatwDhe we SPs + thant ioe ) + Aiawaet fava chu chat | Bunn Cece. Rate) ~ Widunu meds (moveraer rower) Poupuddanidy + fusun Satu Zesa9 BANE CResere tequipenunt) + Gianuas & O68 tbe dnerty tahnnazd0 a ints | |= SoctricRamwmomstis | : Srnmthsaoreuco end ATs.* mmlua Boned CHmer tnd? cliysovenes avery Hovie- Haup ubcobiinu Pusiness uinesh FIMMCIAL WATT TVTIOn + finned + Swmroms Cluhey BOT?) + ubta dang lusean bos “mone suPrLY Rat Avian + mone fury amid —» Lobos vsa my 09 wa 9 qullniinvry ones Were aioe > lolteyiv ond > wonn + wdinilodons Auda ( Hut Guflotio) Bitla etlation «soa, moe surrL Taw + ia diy moer rery Tow Tisdemomridu Wao vaantilo © ins BoT vwusinivisyve Winowds | ents + Ghia) dandy dhs nas (Keene Fenie-t) © Ae gan dudhow maaiy (Fer key + Giay Gon oan (Discount Rated + Ao Gomrfaa CDisconnt fate) + atthe Gangontolunmn cia sil + iT Sesnounily funanidy aos + ae malhovelenro + WAL nvigay Quito towdeoonmingcuy ex ooduried * Gado iduiidoeuy ox Nindu (du DEMAND : Downward -Slepihy bwas asniivds oudoiuLcforiarss (udu Welin sions (5) SUPPLE = ohoan was dinmrens (0977 dawn ldemdecao? Gandy 40% Hidu avo ised uid geo din aoaiivanu Iau (09 : ae(GHEFTER 7 coon’) FINANCIAL system dun mieiduniratowss srnagay9 ~ fidMrw mower suerey Syyemuuiban wlan haw ~ Sianirnao bi hansa aavaxnw iver wae snstioncanal tie 15 = fanmade owiay Rerekve at Me mn m 1 = GbiTieade wx Bank puns auudllaanduen pane Te tne nds GANKRUT (iF) we dong Hallie > BANK ssuraxnarvian vhs hug row wing 9=mHTd Maney TVERLY amas wou dicufammnmrehnc, t {hor eM MULT FLIER Gaarse Slnyois ods MK gwar aiasaivio FAN 9 (QUANTITY THEORY OF money) ino¥ J3anuidu + Nelocity of money : aamithorunaieds 7 } | pertton lun viento | § Greavaib Higa powtnar - i | Ve Velocity P+ free lnel (60 delhinnd an study = odie > aly | i my Pry | Ye Becl GPP m= mmer mnt + mquy webs ear Aang saute Vumuita (inoner ven) Ad seus (kee wea) + ilu’s#1 mer svern wseunse fu trecerevee Cm D+ Ftint fy my ae ena Foe Tamia (PRICE Lever) 2 ae ned fury, eee iw > Abe Tanwunity C wieKost Kare), | | ‘afon uvky > soviws + Delta Gala + vam + Hyerifltinn + elo + Anttion (uso } ; Fans’ Puce Leal Fire Leet fe Ww Qn rr + dununeesniady s5pemmnn | O dn sur " © spe MAH Esty wdhidtandn Ipave sakron dem Crewe mpexy ( Inflation RATE Y, = fete wiiex te — fice inoek v4 oa FFE Wek fe = hice imoek v4 RCE inex 4 a ee Diwbws1s 4 Smene Sail ee: Pairs forbratoas tne Gurl szdunae (Caepiny Ietlctind : 5% — fy > rake da andra vat) Cird 7254 gui0s (Hygena) + 2667.1 eer, gona > haves ira Gill (Pettatin) : ub Yan daa — airs Wont Condinven > 97, snl) ohiet in weigh un ofesoationth th X Sub otic» earedaride (MUS + $9) 4 Said sedans, Buide ele hu Hypertens dimer a sau Gian! ®&&&e@ wads sachs ihaite Grain ivy Cleats va povdtwa ) Akagsad {alley awarding lt fassenudsmetiiat - pquflailtev udidaliiy > aysdvbianra Badaducl Rudd gna + vagenieultoes + eh Raid wloundaliey ey Oech chal eg SecA NTC Saute a ronlainduaelodiew ex Ay as viv m9 + samsudteTpua < Sgua ald wns tax Uasaniisutr shld dee tenc oor day ga By Tax anit esis weve ole Bvdoa Cane fd Sidias Aisgmadlsanat Hindi lave good — 1 vais Corctule) qutemt fate, Auterrt Fe 5 Ga en ihm = ~ 2) ieee ctv Ayaan] (Money Ineetion Ir t pefaton In y Anadioar WeUINUTY Gow» quiiisucanns + Zaplanion — oon Sunes Yaiesy wae la Peal imetert Rme sisvasr Saito © Ge Lemmee c98 + ogunvonduct wala Tulfo niionns wavay os sonst * vasseny soomo Mud hula + Hair acta Sep oo oni mnaaudr wid AO wiamsaatevernaty argadoee ca| + Hyperinflation tautiaovonus® Aura, Hungry, Germory, foland te A205 + Uyperdatation vzwvlerpdieindst oovt adn du coufar venanawinchl | + The Fisher Effect: mut Nowival Infeast tte fy Saftton bl Talvaiaits Neabchutiata — Wlyeas Geel Lideest Rate = Nowinal Io Jutlation 2% —— Yeapis Ash - th Meana. md 4h = toys —— Teal CHAPTER 8) AscREGaTE Demann & suPPLY THE Loven (nme C0) AD a @& (ee or oF “a (Fea tPp) SHORT Fn CuRve, Leno-Fun_cunve, + FRE Level Lators AS loziin 4009S + LBL N, A dee As lesen + Peo Level tendons AP, AS aa a a + Ap sit hdd. C, 1 6, NX + \As shett Bius LK, N, A, Corts etter? 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LG PT ol (1-0) idcaa Eton dwwcid / duc eon avn / cide B Vislovenidusiuese (ferhicite ) 8 Jickvamsdaciouocs (Exporsion) + Bla tor Muda hela + RO Get iy uRMTAs ave CiRanvsto) + Wid Sandscisa Mn Céctere Popired| + 0 dostatlizs> BANK (Ketme kequst] . * iy arora leneiedaj CDicomt foley | + 4a, Saifonr hannofoatet (rest) ene Gandy? Uoalede dy out CY AMY) conte | viii t sad | money svPrLY Ct Dt woney uerly AI + Ami ebsoenods 2009 + dawebeshemauhta Friduenvmsedsuac> CRerhictive) sw Tichvieamaroverceto CExpansionry) fueaiio Gor hivna CD wut) |e se ovr vm SD so CD Pe A Cd we onfalaiivss J Gord) | lt CP m2 siclalnatnd Toone 1) pgawierm (1-8) tema csvers) + oArsvdrans (t-4) smo (Dérerr) | Ypidnakarwice Zire socvin Heute’ | Unottchnuue Syme auas Yuthais|, ‘ eb Tt Ch omy TY wh — |r Frac tin cramp oot 4 wa=noneyy clin aeasns conve OT TY CT IT cot wht (79) Bevery + snbbomvana duly achiedmtiid Me Re mover TEM Porhinadidu) Maavinte duitrew as urge