Macroeconomic Assignment – Australia.

Unit Title : Macroeconomic
Assessment Type :- Assignment
PRE-TASK 1
Collect annual data for each year from 1990 to 2018 for five ASEAN countries Thailand Indonesia South Korea Malaysia and Singapore Under all indicators find and download data for the following macroeconomic variables.
Macroeconomic Assignment – Australia.

a. GDP growth (annual %)
b. unemployment total (percentage of total labour force)
c. Interest rate
d. Inflation consumer prices (annual %)
e. [government] expense (% of GDP)
f. [government] revenue (% of GDP)

Note: In order to download the data for a variable click on the DOWNLOAD DATA tab on the right-hand corner of the web page. You can save the data for each variable as an EXCEL FILE and save in a convenient location on your computer with the name of the variable.

Transfer the data for each variable into tables which will be used to create charts.Charts produced from these tables must be correctly titled labelled and sourced.

Macroeconomic Assignment – Australia.

TASK 1: Data Collection and Analysis

1.1
I.Present the variables GDP growth rate unemployment rate interest rate and inflation rate each in a single chart for every country (country based variables chart). For example the four variables for Thailand in one chart.
II. Similarly provide a chart for each of GDP the unemployment rate interest rate and the inflation rate comparing every country (variable based country chart). For example GDP growth rate variable for all five countries in one chart.
III.Based on the charts you have prepared compare and explain the effect of the major regional economic crisis on the five countries.

1.2
i. Prepare a chart for each country which shows its GDP government expenditure and taxes. (If you have not found government expenditure and tax as a share of GDP you will need to calculate the figures.)
ii. Compare the governments share of the economy of each country.
iii. Compare the government budgetary position of each country (balanced budget deficit or surplus) over the period (hint: Chapter 27 of the textbook).
iv. Discuss how and why these changed with the major regional economic crisis.

PRE-TASK 2
Download the cash rates for Australia and the USA for the years 2000-2019. If you cannot find information for 2019 then find up until 2018. Convert this information into one chart.

TASK 2: Government Policy Analysis
Many economies over the past 20 years experienced the Global Financial Crisis (GFC) to various degrees. To minimize the impact of the financial crisis on the Australian and the USA economies both monetary and fiscal policies have been used. Australia and the USA are currently experiencing considerably strong economic growth in the aftermath of the GFC. The application of fiscal and monetary policies played a role in achieving this outcome. Given this situation:

Macroeconomic Assignment – Australia.

2.1
Present the cash rate chart and explain/examine how both governments cash rate (monetary) expenditure and tax (fiscal)policies were used to impact economic outcomes and manage the GFC. Where appropriate use relevant theory and economic model (such as AD-AS model) to support your points.

2.2
Answer the following two questions:
a. Can fiscal policies be effectively used to control economic activities?
b. What are some of the problems or challenges of fiscal policy application?
Where appropriate use relevant theory and economic model (such as AD-AS model) to support your points.