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Macro 6

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Gale Pooley
Gale Pooley

This document contains lecture notes on macroeconomics including: 1) A discussion of Chapter 7 of The Wealth of Nations and questions about the Gapminder data visualization. 2) An explanation of the Rule of 70s formula for calculating doubling time based on a growth rate. 3) An overview of the six capitals of innovation framework for understanding prosperity and poverty. 4) Notes on important institutions like property rights and competitive markets. 5) Exam information including the testing center dates and topics that will be covered like trade, supply and demand, and GDP calculations.

Economy & Finance
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Macroeconomics Lecture 6 The Wealth of Nations Chapter 7
Questions?
Gapminder 200 Countries 200Years https://www.youtube.com/watch?v=jbkSRLYSojo
Rule of 70s Doubling time = 70 r
Rule of 70s 2 = 1 x ert ln 2 = ln 1 + (r x t) ln1 = 0 ln 2 = 0.69314 = 0.7 double = 70/r page 63
Six Capitals of Innovation A framework for understanding prosperity and poverty
Intellectual Financial Physical Human Culture Entrepreneur
Institutions Property Rights Honest Government Political Stability Rule of Law Open Competitive Markets
China Agreement
Exam 1 Testing Center Thursday Friday before 4pm
Big Ideas Trade & Comparative Advantage Supply and Demand Shifts Equilibrium Price System Price Floors and Ceilings Exam 1
Exam 1 1820 Six Capitals of Innovation Where is the iPhone made? GDP Percentage Change
Exam 1 GDP Spending = C + I + G + NX Income = Wages + Rent + Interest + Profit
Exam 1 Don’t Ask Don’t Tell

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Macro 6