• Best of luck to the class of 2024 for their HSC exams. You got this!
    Let us know your thoughts on the HSC exams here
  • YOU can help the next generation of students in the community!
    Share your trial papers and notes on our Notes & Resources page
MedVision ad

Section I: Multiple Choice (1 Viewer)

moussahawa

New Member
Joined
Sep 12, 2007
Messages
1
Gender
Male
HSC
N/A
@who said:
dude , for q2. if the RBA purchases govnt securities then they decrease thier liquidity not increase it.
dude, when the RBA buys back second hand CGS, when you buy something, you are giving the other party (banks) money, therefore increase liquidity, and because der is an increase in liquidity, the cash rate has to decrease, therefore indirectly interest rates decrease:)
 

nataliaa.cc

Member
Joined
Nov 29, 2007
Messages
37
Gender
Female
HSC
2008
No need to get all uptight about it.
As I said was rushing, head's still a bit scrambled.
Thanks for the correction though (=
 

@who

Member
Joined
Aug 31, 2008
Messages
124
Gender
Male
HSC
2008
moussahawa said:
dude, when the RBA buys back second hand CGS, when you buy something, you are giving the other party (banks) money, therefore increase liquidity, and because der is an increase in liquidity, the cash rate has to decrease, therefore indirectly interest rates decrease:)
do u know wat liquidity means? its the ability to repay debt in the short term, what your saying is in direct contrast to the definition.
 

missashy

New Member
Joined
Sep 17, 2007
Messages
22
Gender
Female
HSC
2008
wdf, question 2 is B) An increase in liquidity and a decrease in interest rates
because when the RBA buys govt securities more money is injected into the borrowers fund which mean the economy has an increase in liquidity and a decrease in interest rates - noobs == what was the easiest one there
 

runnable

Active Member
Joined
Aug 20, 2006
Messages
1,412
Gender
Male
HSC
2008
Freakyboy said:
Question 1 was definitely D).

For all that argue otherwise, the question said "BEST characterizes".

There's a lot more developing economies living off agriculture than oil, I'll give you that much.


And Question 7 was C).

The LRPC shows that when AD pushes for tightness in the labour market beyond the NAIRU, there will be a short-term decrease in unemployment followed by an increase in inflation, as he economy "zig-zags" back to its natural rate albeit at higher interest (degree of stagflation). As such, the only way to further decrease u/e without increasing inflation is through increasing AS rather than AD.

Keyword was "initially".

Still, I can't believe I got that fucking gini question wrong... misread it for increase in equality, and hence put welfare :burn:
You're right, the key word is INITIALLY. It will only be a short while for hidden unemployment to come out and become unemployed, its a short term thing thats happening.
 
Last edited:

missashy

New Member
Joined
Sep 17, 2007
Messages
22
Gender
Female
HSC
2008
wdf uve got to be joking right ? liquidity means how much CASH how much MONEY you have on you, if i have 100$ and you have $50 - i am therefore more liquid than you, dumb shit
 

@who

Member
Joined
Aug 31, 2008
Messages
124
Gender
Male
HSC
2008
missashy said:
wdf uve got to be joking right ? liquidity means how much CASH how much MONEY you have on you, if i have 100$ and you have $50 - i am therefore more liquid than you, dumb shit
fuck off tart
im betting i killed your marks overall. fuck off now
 

lildoro

New Member
Joined
Jan 7, 2008
Messages
21
Gender
Female
HSC
2008
I got the same answers as most people except for one stupid mistake ><; I didn't mark the answers in my question book so I'm really paranoid that I might've coloured the wrong circle in when I had the right answer in mind...

Ahhh. It's over.

adz2452 said:
Yeah i think i had all the MC right the same that most ppl are getting except for Q19> everyone had C and someone explain to me how that works that question i was totally confussed that was the only part of the exam i found hard.
go economics best HSC subject ever YYEEE!!
Uhh I got C for Question 19 as well, simply because it's aggregate supply that's decreased and everything else was stuff that affects aggregate demand rather than aggregate supply.

Correct me if I'm wrong ^_^;
 

liam9519

Member
Joined
Dec 2, 2007
Messages
52
Location
Newtown
Gender
Male
HSC
2008
I got 19/20. I got 12 wrong, because I figured by borrowing funds from the domestic private sector, the crowding out effect causes them to borrow from overseas, hence worsening ext. stab. However I misinterpreted B as the opposite and thus put that.

Not so well in the short answer unfortunately, but i think im looking at 80-85%+ raw
 

nataliaa.cc

Member
Joined
Nov 29, 2007
Messages
37
Gender
Female
HSC
2008
Which of the following would increase Australia's Gini coefficient?
a) an increase in the goods and services tax (gst) rate
b) an increase in the top marginal tax rate
c) an increase in welfare payments
d) an increase in public housing
 

@who

Member
Joined
Aug 31, 2008
Messages
124
Gender
Male
HSC
2008
nataliaa.cc said:
Which of the following would increase Australia's Gini coefficient?
a) an increase in the goods and services tax (gst) rate
b) an increase in the top marginal tax rate
c) an increase in welfare payments
d) an increase in public housing
thankyou for that.

im now certain that i put a.
but how the hell do u find that lorenz curve question?
 

purplecupcake

New Member
Joined
Feb 18, 2008
Messages
14
Gender
Female
HSC
2008
Re: Multiple choice answers

Geohood said:
12D would crowding out effect though wouldn't it?

This multiple choice test was the most confusing I've ever done.
i agree with you here - i put b for this question because of that !
 

runnable

Active Member
Joined
Aug 20, 2006
Messages
1,412
Gender
Male
HSC
2008
Re: Multiple choice answers

Crowding out =/= Worse external stability.

It will only be so if it leads to borrowing from overseas, which may or may not happen.
 

@who

Member
Joined
Aug 31, 2008
Messages
124
Gender
Male
HSC
2008
yea im thinking on the same line. i was actually hoping to go much better in multy choice than i did in the trial. belive it or not, i lost my marks in multy choice practically.

in the trial (cssa) . i got 39/40 for s.a , 36/40 for extended responses and 11/20 for multy choice.

i guess we will have to see the results. oh well its over.
 

frieda

Premium Member
Joined
Mar 15, 2006
Messages
107
Location
inner-west
Gender
Female
HSC
2008
Re: Multiple choice answers

Sorry guys who think 7 is A, as i am pretty sure it is C. The key to this question is that it asks for the INITIAL impact, this can be derived from looking at the long run philips curve.

Go here http://en.wikipedia.org/wiki/Philips_curve and scroll down to "Nairu and inflationary expectations". As is shown, unemployment is at NAIRU, and an increase in aggregate demand moves us INITIALLY from point A to point B, which is a decrease in unemployment and an increase in inflation. Eventually due to inflationary expectations, it will move to point C, which is is STILL the NAIRU, but at higher inflation. Thus even in the long run, unemployment has not increased from the NAIRU at which it was initially.
 

Users Who Are Viewing This Thread (Users: 0, Guests: 1)

Top