Office Hours: Monday 3:00-4:00 – LUMS C85

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Presentation transcript:

Office Hours: Monday 3:00-4:00 – LUMS C85 ECON 101 Tutorial: Week 15 Shane Murphy s.murphy5@lancaster.ac.uk Office Hours: Monday 3:00-4:00 – LUMS C85

Outline Roll Call Problems Exam Notes

Chapter 22: Problem 3 UK income per person today is roughly four times what it was a century ago. Many other countries have also experienced significant growth over that period. What are some specific ways in which your standard of living is likely to differ from that of your great-grandparents?

Chapter 22: Problem 5 Suppose that society decided to reduce consumption and increase investment. How would this change affect economic growth? What groups in society would benefit from this change? What groups might be hurt?

Chapter 22: Problem 7 What is the opportunity cost of investing in capital? Do you think a country can ‘over-invest’ in capital? What is the opportunity cost of investing in human capital? Do you think a country can ‘over-invest’ in human capital? Explain.

Chapter 22: Problem 8 Suppose that a car company owned entirely by South Korean citizens opens a new factory in the north of England. What sort of foreign investment would this represent? What would be the effect of this investment on UK GDP? Would the effect on UK GNP be larger or smaller?

Chapter 22: Problem 10 International data show a positive correlation between political stability and economic growth. Through what mechanism could political stability lead to strong economic growth? Through what mechanism could strong economic growth lead to political stability?

Wealthier is Healthier Preston’s 1975 Paper suggests as nations GDP increase, so to does the level of health. Other work has suggested this might not be true. Why not?

Exam Notes I should have finished grading by this point and might have a few words to say about the second exam.