Write an essay answering the question below. Marks awarded will depend on the quality of the reasoning exhibited, the ability to express your thoughts in a concise manner (including the use of diagrams) and the organisation of your answer.
Where appropriate draw diagrams to illustrate your answer (these can be hand drawn).
This essay should be answered in no more than 1,500 words.
This assignment is graded out of a total of 20 marks and accounts for 20% of the marks used to assess your final grade.
This assignment is due on Wednesday 21 October, 2015 (Week 11).
A hardcopy of the assignment must be submitted no later than the start of your class (either 9pm or 4pm) on that day.
This assignment must also be submitted through Turnitin.
The essay is designed to be completed as independent (not group) work and to try and encourage students to think analytically about macroeconomic theory and its relation to policy issues. Students will have to apply relevant macroeconomic concepts to the question.
Advice will be provided in class about reference material and how you might approach the topic.
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