Value of the INR
What does the INR stand for?
Indian Rupee
50.40%
Which graph represents distribution of wealth?
The Lorenz Curve
Who is the prime minister of India, and how likely is he to actually implement the solutions listed?
Narendra Modi, not likely
₹85.72
What is one of the affects of a lower Labor Force Participation Rate?
Lower potential output/GDP
Limited/Inefficient point on the PPC
Recession(s)
What did Pratiti Parmar say about the wealth in India?
"It's generational wealth."
List 3 reasons for why the INR has decreased in value?
Increase in the value of the USD
India’s insane trade deficits
Current Account Deficit
Increased Oil Prices
Very high Inflation
What kind of work is usually disregarded in measuring the labor force?
Agricultural/Domestic Work
If the Indian economy were to redistribute the wealth across the nation in a more balanced way, how would the Lorenz Curve react?
The Lorenz Curve would shift more towards the Line of Equality/would shift left.
How does the cost of capital impact the SRAS?
Along the lines of: The cost of capital increases as importing goods gets more expensive, so the aggregate supply curve shifts leftward.
On the Phillips Curve, where does the economy stand, and what does this result in?
What is the relationship between the top of the wealth-holders and the bottom?
The top of the top are extremely rich, while the bottom are in poverty.
If more countries were to start investing in India for whatever reason, how would that affect the value of the USD?
The USD would depreciate, as the demand for INR increases which makes in appreciate in relation to foreign currency, and in regards to the USD, the appreciation of the INR depreciates the USD.
List three factors of why the female population in India doesn't participate as much as men in the labor force.
Prosperity
Transportation
Measurements
Accessibility
Education
Belief
What percentage of wealth:
1. Does the top .1% of people hold
2. Remains after losing wealth from the middle 40% class
(Hint: It's the same number)
29%
Name one solution that Modi could implement, and describe how it would affect one economic graph.
Progressive Taxation: The taxation of the wealthier would redistribute the wealth which would shift the Lorenz Curve left/towards the Line of Equality.
Education Developments: Educational developments would increase the labor force, which would move the point on the SRPC closer to equilibrium.
Health Protection: Protecting the health of people increases productivity, which would shift an AS curve rightwards.
Public Services: Increasing spending on public services increases human capital, which can shift the PPC outwards.
Other answers that are also correct could be accepted