Chapter 8, Problem 15E

To determine

(a)

To write:

The impact on equilibrium price and output level when consumers expect a recession.

To determine

(b)

To write:

The impact on equilibrium price and output level with rise in foreign income.

To determine

(c)

To write:

The impact on equilibrium price and output level when foreign price level falls.

To determine

(d)

To write:

The impact on equilibrium price and output level when government spending increases.

To determine

(e)

To write:

The impact on equilibrium price and output level when workers expect inflation in near future and negotiate for higher wages now.

To determine

(f)

To write:

The impact on equilibrium price and output level when technological improvement increases productivity.