In preparing your answers to this assignment, you are required to follow the specific instructions and guidelines given below:
- You are required to type up and submit a Word document file which will include your answers to both questions that are included in this assignment.
- You are to work on this assignment individually without the help of others. Your answer should be grounded in relevant economic theories.
- The word limit for Question 1 is between a minimum of 800 and a maximum of 1000 words, for Question 2 a minimum of 600 and a maximum of 800 words and for Question 3 a minimum of 500 and a maximum of 700 words. Use Times New Roman or Arial size 12 letters with 1.5 spacing between the lines.
- Include a cover page with the name of the course and course code, your full name and student ID number as well as the date.
- Late submissions will not be accepted. Reference all sources appropriately using the Harvard Referencing system.
- Note that although you may include direct quotes from various sources of information, your answer should not merely be other people's work. That is, even if you identify the sources of information that you use, you should not copy too much information directly from other sources. Try to paraphrase as much as possible and include your own thoughts in your answers. Even if you paraphrase you still need to identify the source of information. When you copy directly be sure to identify the pages. Finally, when you include your own thoughts be sure to justify them with supporting references.
- All assignment answers will be checked for plagiarism using TurnItIn.
Question 1
- Critically analyze and evaluate the importance of the Circular Flow model in an economy and use it to explain why the Gross Domestic Product equals Aggregate Expenditure and Aggregate Income.
Question 2
- Critically analyze and evaluate the main economic function of banks and other depository institutions in your country and describe how and by whom they are regulated.
Question 3
- Critically analyze and evaluate the concept of money. In your answer you should define what money is, and what its functions are. You should also explain how money is created and by whom and explain how a market operation changes the quantity of money available in an economy. Make sure that you use examples in your submission to illustrate your answers.