What is \’Okun\’s Law ?

1. What is \’Okun\’s Law ?
2. What is the \’multiplier\’ and why is relevant to fiscal policy ?
3. Why does a policy of balancing the budget lead to greater volatility of output ?
4. What is the Philips curve ?
5. What is inflation targeting ?
6. Explain how changes in capital intensity occur, how they affect the production process and why this matters.

core economics