Curves

Lorenz curve

measures inequality based on I/W distribution in a population

Gini index

measures inequality sum of

PC

RS btw inflation, growth/U for a given actual inflation expectation

Cobb douglass production function

Same L, ∆tech = >Y

Cobb douglass production function

Unemployment graph

Equilibrium in the labor market

“unemployment” annotation

natural U rate

Shift in supply of labour (Up)

High real w and lower U

Shift in real w - for >desired Y

higher wage, for more LF

Effect of Labour force (Good labour) downward shift

lower both MC and ATC and A-VC - more profit

The higher in r = less people will in invest in K-stock, due to the lower value of Y, vice versa

What can this reflect

MPS

SAving displays the supply of credit - funding to banks —> lending to others

Central bank policy rate