1)  In the corsetti-Pesenti model a monetary expansion at home may reduce welfare of domestic risidents because:

A :  It may reduce domestic output ant employment

B:   It increases domestic prices in the long run

C:   It increases domestic and foreign prices in long run

D:   It deteriorates the terms of trade in the short run
  

2) Consider the simple overlapping generation model discussed in class where at any time t, there are  2 generations alive and each generation lives for 2 periods .Assume the gouverment reduces taxes at time t0 thus creating a debt d which remains constant thereafter. This  policy has the following effect:

A : consumption of the generation old at time t0 decreases

B:  consumption of the generation young at  time t0 decrease at t0 and increase at t1

C:  consumption of the generation young at  time t0 increase at t0 and decrease at t1

D: consumption of the generation young at  time t0 increase at t0 and t1

[此贴子已经被作者于2009-6-6 2:24:07编辑过]