Macro4 Essay Example | Topics and Well Written Essays - 1250 words

Macro4 - Essay Example By removing inflation, real GDP allows economists to make more accurate comparisons between countries and across multiple years. For example, let us consider a scenario where Nominal GDP in year N-1 was 500 and 525 in year N. The nominal GDP has grown by 5%. Now we look at three scenarios, one where inflation is 5% (country like UK), second where inflation is 1% (country like US) and the third where inflation is 10% (developing countries like India or China). If the economic policy makers were to consider only nominal GDP, all the three policy makers might consider similar fiscal policies. However, by looking at the real GDP, we are able to see that even though nominal growth of developing countries is higher, it is still lower than the inflation rate and the real GDP would actually have dropped. The goal of economic policy makers is to have low unemployment, stable prices and to stimulate growth. They have two sets of tools for this objective: 1) Fiscal policy – Government sp ending and Taxation 2) Monetary policy – Discount rate, Bank reserve ratio, and Open market operations So, the assumption made about what policy makers want to know when considering Real GDP more meaningful is the following: a) Are economic policies creating a real increase in the output? b) How much real demand is being created by government spending and taxation policy? c) Is the monetary policy able to drive growth at constant prices? 2. Why is GDP inadequate as a measure of social welfare? Can you think of any ways to make GDP a better measure of social welfare? GDP simply adds up all the products and services that are bought and sold. It makes no distinction between transactions that ass to the social welfare and those that diminish it. GDP assumes that all monetary transactions add to well-being without separating cost from benefit. For example, as a result of the recent earthquake and Tsunami in Japan, GDP would not take into account the loss caused by it but would act ually add up the cost spent in bringing things back to normal. Also, activities that actually are negative for the social welfare are added up in GDP – like lawyer fees in divorces or property damage and medical expenses due to crime. Further, GDP does not take into account some of the most important social welfare work that happens in our everyday lives – childcare, DIY home repairs, or even voluntary work. As an example of the ambiguity of GDP, if we hire someone to do the home repairs, GDP adds the income but if we do it ourselves, the DIY repair goes â€Å"unnoticed† in the GDP. In order to make GDP a better measure of social welfare, we could represent GDP like the balance sheet of a company showing separately the assets (monetary transactions that lead to social welfare and development) and the liabilities (monetary transactions that cause negative impact on social welfare or those that have been made in order to be back to normal after a disaster). The ne t of these assets and liabilities would then be a good indicator of how much actual social welfare has occurred in the country or over time. 4. a. Compute real GDP for each year. 1987 is the base year. Show your work. Year Nominal GDP GDP deflator Real GDP 1989 5 244 1,08 4 856 1990 5 514 1,13 4 880 1991 5 672 1,17 4 848 Real GDP in Year n = Nominal GDP in Year n GDP Deflator for that year Real GDP in 1989 = 5 244 / 1.08 = 4

Mass Spectrospcopy Essay Example | Topics and Well Written Essays - 1250 words

Mass Spectrospcopy - Essay Example Consequently, the ratio of mass to charge abbreviated as m/e becomes the equivalence of the molecular weight of the component. In this technique, the analysis of the data generated involves the re-assembling of the components and then moving backwards to find the original sample molecule (Klein 673). The fundamental guidelines of mass spectroscopy date back to as early as the 1890s when J.J Thomson was able to ascertain the mass to charge ratio of the electron. Additionally, Wien who illustrated that the magnetic deflection of anode (negatively charged terminal) rays were positively charged is a founding figure in mass spectroscopy. These men were honored with Nobel Prizes for their experiments in this technique. In later years, probably in 1912, J.J. Thomson again was in the limelight yet with another study on Neon atom. In his study, he subjected the Neon-20 atom to mass spectrometry and found a variant atom, Neon-22. This suggested that neon in fact was an isotopic element. The ea rliest form of a mass spectrometry machine was built in 1918 by A.J. Dempster. It was until the mid 1960s that the method of mass spectrometry came into proper and common use because the machines were reliable and affordable (Pavia 443). With the advancement in ionization techniques of high molecular weight substances between 1980s and 1990s, this analytic procedure has grown immensely. Introduction of affordable instruments that provide high resolution has enabled researchers in all fields to conduct in depth analysis of various molecules ranging from oligonucleotides, and other biological compounds. Mass spectrometry traverses all fields and has been of significant value in drug development, and drug discovery. Within the health sector, this technique has been vital in the testing of blood and urine samples for detection of compounds termed as markers in specific conditions. Environmentally, this technique has been relied on for monitoring water and air quality as well as testing of energy reserves (Pavia 449). The procedural breakdown of mass spectroscopy begins when a very low concentration of sample molecule is allowed to pass through an ionization chamber. The chamber is usually maintained at very high levels of vacuum. Within this chamber, the sample substance is subjected to a high energy electron beam that essentially produces negatively charged ions. As a result of this bombardment, the constituent molecules in the sample substance fragment. The positively charged ions that are produced are the passed on to an analyzing tube. The path which these cations flow within the tube is curved as result of a magnetic field. Positively charged particles, cations which have the lowest rates of motion implying a low mass, are deflected most by the strong magnetic field. These molecules subsequently collide with the walls of the analyzer. On the other hand, high molecular weight components which tend to have high momentum are not deflected by the magnetic forces and as such do not undergo collision. Of importance are the ions which possess proper mass to charge proportion (Klein 687). Notably, these ions flow through the path of the analyzer, leave the path through an outlet and run into the collector. This collision with the collector produces an electric current which is stepped up