In Chapter 4 of the
text, we learned that a market is in equilibrium when the demand curve
intersects with the supply curve. The general notion in Economics is that when
a market is in equilibrium, the desires of consumers are considered to be
aligned with those of suppliers, and there is an efficient use of resources in
the market. These conditions, however, do not always prevail in the market.
There are times when there is, what is known as, a disequilibrium condition in
the market. Under this condition, there is either a surplus or a shortage in
the market. A surplus occurs when there is an excess of supply of a commodity
over the quantity demanded. A shortage, on the other hand, is a situation where
the quantity demanded of a product exceeds the supply of the product.
The preponderance of
evidence in the market for the services provided by nurses is that there is an
issue of perennial shortages that has lasted for several decades. Ms. Roberta Spohn, Assistant Executive
Secretary of the American Nurses’ Association, Research and Statistics Unit,
stated that “Although there are reports of manpower shortages in many other
professional fields, nursing seems to enjoy the dubious distinction of
continually suffering from this condition” (Spohn, 1954, p.865).
Provide a
comprehensive analysis of demand and supply factors that seem to cause the
persistent shortage of nurses in the U.S. Please make sure you address the following
items, in your paper.
Identify, at least,
five factors that are likely to cause the increase in the demand for nurses and
five factors that are likely to cause a decline in the supply of nurses, or the
failure of supply to keep up with demand.
What are the likely
implications of the shortage of nurses on the quality of care given in U.S.
hospitals?
What solutions do you
propose to address this seemingly persistent issue of nursing shortages in the
U.S.?
Has government policy
intervention over the years helped or exacerbated the shortage of nurses?
Provide reasons to justify your opinion.?
ECON312N
Principles of EconomicsWeek 5 Assignment
Resources
Read/review the
following resources for this activity:
Textbook: Chapter 14,
15
Lesson
Link (website): FRED
Economic Data (Links to an external site.)
Minimum of 2 scholarly
sources
Introduction
This assignment is
based on the exploration and analysis of two of the most important economic
variables used in economic analysis: Real GDP and Unemployment. These variables
are compiled by the Bureau of Economic Analysis and are used extensively by the
Federal Reserve of St Louis, in a database called FRED (Federal Reserve
Economic Data), which is made up of nearly 140,000 economic time series from
more than 50 data producers. The expectation is that at the end of the course,
your new found ability to extract, manipulate, and understand economic data
will be an enduring benefit from taking this course.
Activity Instructions
For this assignment,
complete the following in the FRED Economic Data website:
Part A: Plot real GDP
(Percent Change from Quarter One Year Ago – Quarterly Data) from 1977 (January)
to 2018 (January). Note that the shaded areas on the graph show periods during
which there were recessions.
Part B: Plot several
measures of Unemployment from either 1977 or 1997 (Q1 - January) to 2018
(January) as specified in the instructions. Note that the shaded areas on the
graph show periods during which there were recessions.
After plotting each
graph in Part A and each Multi-Series Graph in Part B, copy and paste the
graphs in a Word document. Then, provide a detailed comparative analysis of the
performances of the variables. See the specific question in Parts A and B that
follow.
Accessing and Using
the FRED Website
Click on the link for
the FRED Economic Data website (in the Required Resources area). Then, follows
these steps:
Once you are at the
website, copy and paste the research variable in the data (search) window.
Click on the “magnifying glass” (search icon) to the left of the window.
A new page opens with
the variable listed. Click on the variable.
A page opens with the
graph. Change the dates in the date window to the right.
To select the
beginning date, click inside the first window and click on the arrows to get to
the desired year. After selecting the year, a new window opens with a list of
months. Select the desired month.
Click the second
window and repeat step #4 to choose the end date.
After selecting the
desired dates, the graph appears.
With the graph
well-centered on your computer screen, press on the PrtScr/SystRq key of your
keyboard to copy the graph on the screen.
Alternatively, you can also use the snipping tool on your computer to
capture the graph. Note that the
combination for a Screen Shot may be different for laptops.
Paste the graph in a
Word document where you are writing your detailed analysis of the performances
of the variables. Hint: make sure the following labels appear on the cropped
graph: “FRED Graph” at the top left and “fred.stlouis.org” on the bottom right.
Part A: GDP: A Measure
of Total Production and Income (Chapter 14)
Plot real GDP (FRED
code: A191RO1Q156NBEA) from 1977 (January) to 2018 (January).
Provide a brief
description of the general performance of the output of goods and services
produced in the United States during periods of recessions (from 1980 to 2009).
Provide a general
description of the performance of the economy during the Great Recession of
2007 to 2009 (Hint: focus your discussion on the following economic indicators:
unemployment rates, incomes, profits, financial markets, real estate market
etc.).
Plot real GDP per
Capita (FRED code: A939RC0Q052SBEA) from 1977 (January) to 2018 (January).
Provide a general
description of the performance of real GDP per capita from 1977 to 2018.
Most Economists,
Policymakers, Social Scientists, and Business Analysts use a country’s real GDP
per capita as the main indicator of the average person’s standard of living in
that country. Robert Kennedy expressed his disagreement with the over-reliance
on the use of GDP per capita with the following comments:
Gross Domestic
Product, he argues “… does not allow for the health of our children, the
quality of their education, or the joy of their play. It does not include the
beauty of our poetry or the strength of our marriages, the intelligence of our
public debate or the integrity of our public officials. It measures neither our
courage, nor our wisdom, nor our devotion to our country. It measures
everything, in short, except that which makes life worthwhile, and it can tell
us everything about America except why we are proud that we are Americans”
(1968, para. 23).
Do you agree or
disagree with the late Robert Kennedy’s assessment of the importance of GDP per
capita in determining the standard of living? Provide reasons to support your
position.
Part B: Jobs and
Unemployment (Chapter 15)
Items A-E below will
require Multi-Series Graphs. This means plotting a graph with more than one
variable (line). To add an additional line (variable) to a graph, you will
first plot the initial variable, then click on the tab labeled as “Edit
Graph.” An Edit Graph box opens. Click
on the tab labeled “Add Line” within the Edit Graph box, and type the FRED code
for the additional variable and hit enter.
Select the correct variable from the list that populates and click the
“add data series” tab. Note: you will do
a separate Multi-Series Graph for each grouping (A-E) below:
Measures of
Unemployment
Plot the variable
Civilian Unemployment Rate (FRED code: UNRATE) from 1997 (January) to 2018
(January). (Note: this is the official Unemployment Rate)
Create a Multi-Series
Graph and plot the variable Special Unemployment Rate (FRED Code - U6RATE) from
1994 (January) to 2018 (January). (Note: this is Total Unemployed, Plus All
Marginally Attached Workers, Plus Total Employed Part-Time for Economic
Reasons, as a Percent of the Civilian Labor Force plus all Marginally Attached
Workers).
Duration Unemployment
Plot the variable Of
Total Unemployed, Percent Unemployed Less Than 5 Weeks (FRED code: LNS13008397)
from 1977 (January) to 2018 (January).
Create a Multi-Series
Graph and plot the variable Of Total Unemployed, Percent Unemployed 27 Weeks
and Over (FRED code: LNS13025703) from
1977 (January) to 2018 (January).
Educational Attainment
Plot the variable
Unemployment Rate - Bachelor's Degree and Higher, 25 years and over (FRED code:
LNS14027662) from 1997 (January) to 2018 (January).
Create a Multi-Series
Graph and plot the variable Unemployment Rate - High School Graduates, No
College, 25 years and over (FRED code: LNU04027660) from 1997 (January) to 2018
(January).
Gender
Plot the variable
Unemployment Rate - Men (FRED code: LNS14000001) from 1977 (January) to 2018
(January).
Create a Multi-Series
Graph and plot the variable Unemployment Rate - Women (FRED code: LNS14000002)
from 1977 (January) to 2018 (January).
Race
Plot the variable
Unemployment Rate - White (FRED code: LNS14000003) from 1977 (January) to 2018
(January).
Create a Multi-Series
Graph and plot the variable Unemployment Rate - Black (FRED code: LNS14000006)
from 1977 (January) to 2018 (January).
Create a third line
(variable) on this graph by plotting the variable Unemployment Rate – Hispanic
(FRED code: LNS14000009) from 1977 (January) to 2018 (January).
Using the graphs on
measures of unemployment, duration of unemployment, educational attainment,
gender and race, provide a comprehensive assessment of the labor market during
the period of the Great Recession (2007 to 2009). (NOTE: In responding to this
question, please briefly comment on the employment situations before and after
the Great Recession).
Writing Requirements
(APA format)
Length: 3-5 pages (not
including title page or references page)
1-inch margins
Double spaced
12-point Times New
Roman font
Title page
References page
(minimum of 2 sources)
ECON312N
Principles of EconomicsWeek 7 Assignment
Required Resources
Read/review the
following resources for this activity:
Textbook: Review all
chapters (Weeks 1-7)
Lesson: Week 1-7
Minimum of 4 scholarly
sources
Introduction
There are several
problems that every economy must contend with. The culmination of these
problems is often a recession or an inflation, each of which requires an
extensive policy prescription. A recession is technically defined as two
consecutive periods of negative growth in real GDP. The National Bureau of
Economic Research (NBER) which dates U.S. recessions defines recession as “a
significant decline in economic spread across the economy, lasting more than a
few months, normally in real GDP, real income, employment, industrial
production and wholesale-retail sales.” (NBER, 2008, para. 2). Inflation is
measured by the Bureau of Labor Statistics (BLS) as an increase in the overall
price in the economy. The inflation rate is the percentage change in the prices
of goods and services from one period to the other. To measure the percentage
change in the general level of prices, economists use the GDP deflator method
or the Consumer Price Index (CPI) method. It is important to note that as the
general level of prices rise, the purchasing power – or value – of money
diminishes, and as the general level of prices decline, the value or purchasing
power of money rises.
When an economy is
going through recessionary or inflationary periods, two key policy
prescriptions are used to deal with either problem are Fiscal Policy and
Monetary Policy. Fiscal Policy is often initiated by the executive branch of
government and approved by the legislative branch of government. The main tools
of Fiscal Policy are Taxes and Government Spending. Monetary Policy, on the
other hand, is conducted by the Federal Reserve Board. The main tools of
Monetary Policy are Required Reserve Ratio, Discount Rate, and Open Market
Operation.
A recessionary gap
(see Figure 1) occurs when the full employment equilibrium in an economy falls
short of potential GDP.
Below full employment
macroeconomic equilibrium graph with price level on y-axis and real GDP on
x-axis
Figure 1: Below Full
Employment Macroeconomic Equilibrium. Reprinted from Bade &Parkin (2018, p.
545).
Activity Instructions
For this assignment,
complete the following:
If you were an
economic advisor to both the President and the Chair of the Federal Reserve
Board, what Fiscal Policy and Monetary Policy recommendations would you make to
deal with a recession?
In the literature on
Health Economics, there is a significant amount of research on the impact of
the Great Recession (2008-2009) on the nursing profession. If you were the
Health Policy Advisor to the President, what specific recommendations would you
make to the President to minimize the effects of recessions on the nursing
profession?
In the implementation
of Fiscal and Monetary Policies, discuss the limitations of these policies and
explain how the limitations are likely to affect the effectiveness of your
recommendations.
Note: In making the
recommendations, provide clear and concise channels of transmission of the
policy from its implementation to its effect on Aggregate Demand or Aggregate
Supply. Providing channels of transmission shows the ripple effect of an event
on one or more variables in the process of achieving an ultimate Macroeconomic
objective.
Example
Sample Question: What
is the effect of an increase in U.S. Exports?
Sample Answer: An
increase in U.S exports will increase Business Investments (I) and Household
Consumption (C). The increases in consumer spending and Business Investments
will increase Aggregate Demand (AD) which will shift the AD curve to the right.
The rightward shift in the AD curve, assuming the Aggregate Supply curve does
not shift, will cause an increase in the general level of prices and an
increase in real GDP.
Before you answer the
question, identify the four phases of the Business Cycle and indicate which of
the phase is associated with a recession.
Writing Requirements
(APA format)
Length: 3-5 pages (not
including title page or references page)
1-inch margins
Double spaced
12-point Times New
Roman font
Title page
References page
(minimum of 4 scholarly sources)
