macroeconomics questions 一問

shadowblind

Q1. an individual and a corporation, which one is more likely to engage in foreign direct investment and which one is more likely to engage in foreign portfolio investment? Explain briefly.

Q2. japan generally runs a significant trade surplus. do you think this most releated to high foreign demand for japanese goods, low japanese demand for foreign goods, a high japanese japanese saving rate related to japanese investment or structural barrieers against imports into jp? explan your answer.

Q3 For each of the following events, explain the short and long run effects on output and price level, and policymakers take no action.
A. The stock market declines sharply, reducing consumer's wealth
B. the federal government increase spendng on national defense
C. a technological improvement raises productivity
D. a recession overseas causes foreigners to buy fewer local goods

Q4 a tax cut that will last for only on year and a tax cut that is expected to be permanent. which policy will stimulate greater spending by consumers? which policy will have the greater impact on aggregate demand? explain.

My answer (not 100% correct, plz indicate if wrong  _
Q1 corporation - foreign direct investment (因為呢個係major owner)
     individual - forest portfolio investment (因為呢個係small group)

Q2 high foreign demand for japanese goods (cause NX>>0 證明外面好多國家想要日本D貨)

Q3A short run: output decreases, price level decreases ,long run: output : nature rate , price level decreases
   B short run: output increases, price level increases ,long run: output : nature rate , price level increase
   C short run: output increases, price level decreases ,long run: output :increase, price level decreases
   D short run: output decreases, price level decreases ,long run: output : nature rate , price level decreases

Q4 我覺得永久tax cut 正常應該可以STIMULATE BOTH spending同aggregate demand 但又無可能岩

可以大家討論下 教下我 XD