Purpose of Assignment
The purpose of this is assignment is for students to review the basic principles of economics and the concepts of the circular flow model, showing the connectivity of society’s economic players and the flow of goods and money within an economy. Students will learn how society allocates its scarce resources and how economists are both scientists and policymakers. Students will define GDP and CPI and how they are calculated.
Resources: National Bureau of Economic Research; Principles of Macroeconomics: Ch. 1, 2, 3, 4, 5, 6, and 7
Scenario: Explore the direct impact of Circular Flow and the Consumer Price Index to “your current and future place of employment. “
Develop a 1,100-word report to the members of the strategic planning committee explaining the following information:
- Discuss Economic Science and Policy
- Using the circular flow model, explain the flow of money and goods in an economy.
- GDP and direct correlations
- CPI and cost of living in relation to purchasing Power
Format the assignment consistent with APA guidelines.
Cite 3 sources