Policy Response to Rising Commodity Prices and Stock Market Boom in Advanced Economies in Global Macroeconomics

Global Macroeconomics

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Commodity prices, such as oil, are rising due to continued expansion in new and developing
economies. Discuss the policy response for this issue................................................................3
Stock market boom in advanced economies. Discuss the policy response for this issue...........4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
There is the big transformation in the technology, income, environment and the working
of the people in a new period of fast global economy. Some how, it is related to the economic
development which is unequal and also harmed the environment and they have already halted
owing to climate change in the market. There are developing countries who mus address the
number of connected underlying certain issues in order to attains the long-term economic growth
and inclusion. International competitiveness and minimum productivity, insufficient domestic
resources mobilisation and price mounting debt level and an uncertain manufacturing and the
increasing threat of climate change are just few of them. These are the aspects which contribute
to the macroeconomic equilibrium in the market. It is the aspects which guarantees the overall
expansion is taken into account more thoroughly. There is the huge impact of raid expansion &
the overall developing markets. Rise in the commodity prices that includes oil and stock market
booms in the emerging and advanced economy will further explained in the report and also
analyse the merits or potential policy responses of macroeconomic policy makes with the use of
aggregate demand and supply.
MAIN BODY
Commodity prices, such as oil, are rising due to continued expansion in new and developing
economies. Discuss the policy response for this issue.
Economic growth is the aspects which is concern with the rise in the overall production
of economic products and services from one period to the next year. It is calculated both in real
and nominal terms. Historically, gross national product is being used to quantify the country's
economic growth as a whole. T is defined as the rise in the aggregate production in the economy.
Some how, it helps in gaining the overall production which are not linked with the higher
average marginal productivity that leads to rise the income and prompting the buyers to open
their wallets so that they can spend more and also indicate that they are putting their money for
increasing the quality of life.
As per the Focus Economics' projection for next five year. India is the fastest growing
economies in emerging and developing markets. During past time, India was severely impacted
by the global pandemic COVID-19 and was placed under the strict lock down. Additionally, the