Take Home Final Exam

TAKE HOME FINAL EXAMINATION (Introduction to Economics w/ Land Reform and Taxation) ANSWER ALL QUESTIONS! Manuscript should be encoded in MS Word document, double-spaced and justified using 12-point Arial font with one-inch margin on all sides and printed on one side of an 8.5x11 bond paper. Please try to answer each of the following questions in one consistent essay. 1. Which problem do you believe is more serious: unemployment or inflation? Defend your answer. 2. If the economy is in recession, what sort of fiscal policy changes would tend to bring it out of recession? 3. What are the arguments for and against having monetary policy more directly controlled by the political process? 4. How important are monetary and fiscal policies to long-term economic growth? What are the most important variables determining a nation’s long-term economic growth rate? 5. Choose two nations listed below, and then use web site links to compare their economic positions. What are your first impressions about the economic health and well-being of these nations? a) South Africa; b) India; c) China; d) Turkey; e) Poland; f) Saudi Arabia; g) Argentina. 6. What is your opinion about the role that government should play in the economy? Go to the Web site of Pres. Gloria MacapagalArroyo (http://www.gov.ph) and search for a recent speech by the president that focuses on government spending or tax policies. What type of macroeconomic policy is she promoting? Do you agree with her? 7. How might land reform be achieved in developing countries? What issues are involved? What are the political and ethical implications? 8. Explain the meaning of Gunnar Myrdal’s quote at the beginning of this chapter: “It is in the agricultural sector that the battle for long-term economic development will be won or lost.” 9. “The distribution of income within a country is only a small part of the story of economic inequality. The truly disturbing inequality is that among nations. The rich countries must do much more to

help the poor ones.” Appraise this statement. Do you agree or disagree with it? Provide a detailed justification for your opinion. 10.How would you design a program aimed at eradicating absolute poverty in the Philippines in the next two decades?

Assessment Criteria This take home final examination will be assessed taking into account the following: • Evidence of background reading and relevant academic literature. • No plagiarism. Avoid copy paced. • Appropriate use of referencing system (e.g. Harvard) • Appropriate data and depth of analysis. • Appropriate conclusion. Date of submission (Strictly no extension!) On or before October 2, 2009 Dr. Abraham C. Camba Jr. Department of Economics College of Economics, Finance and Politics PUP, Sta. Mesa