Thelong-run growth is measured as the increase in real GDP per capita and thismeasure has changed over time and it also varies across countries. A country’sstandard of living depends on its ability to produce goods and services (productivity).Howdo we measure long-term economic growth of a country? What are the keydeterminants of long-run economic growth?Whatis the relationship between economic growth and productivity? What is themajor source of growth in labor productivity?Thereare different types of financial intermediaries with different roles in theeconomy. Savings and investment spending are interdependent, and interest ratesare determined in the loanable funds market.a.  Whatare the roles of financial intermediaries and loanable funds market inpromoting long-run economic growth? How do financial intermediaries link savingand investment?b.  Howdoes government borrowing crowd out investment? What is the relationshipbetween government borrowing and budget deficits?TheFederal Reserve may increase or decrease money supply depending on the economiccondition.What policy instruments does the Fed use for themonetary policy?What are the pros and cons of using expansionary andcontractionary monetary policy tools under the following scenarios: depression,recession, inflation, and robust economic growth? Which do you think is moreappropriate today?Ineconomics, inflation is considered as a tax. There are also various costs ofinflation.Whatis the inflation tax, and how might it explain the creation of inflationby a central bank? Explain how inflation affects savings and investment.Inflationdistorts relative prices. What does this mean and why does it impose acost on the society?Whatis your favorite brand of sandwich cookie? If you are like most Americans,chances are it is Oreo. In fact, Oreos are so popular that many people thinkOreo was the original sandwich cookie. But they are wrong. Sunshine firstmarketed its Hydrox sandwich cookie in 1908. Hydrox thrived until 1912, when Nabisco(now part of Kraft) launched Oreo. With Nabisco’s superior distribution andadvertising, Hydrox was soon outmatched. By 1998, Hydrox sales totaled $16million, while Oreo’s revenues were at $374 million. Hydrox has been purchasedby Keebler (subsequently purchased by Kellogg), whose elves are trying to givethe cookie a major facelift. You are part of the Keebler team deciding what todo with the Hydrox brand. Canyou re-create Hydrox through a name change? What kind of brand name couldcompete with Oreo? (Most people unfamiliar with Hydrox think it is acleaning product.) Develop five (5) possibilities for a new name. Pick thebest out of five and give your reasoning. Howcan you package your renewed sandwich cookie to make it more attractive onthe shelf than Oreo? What about package size? Draft a brief packaging planfor the new Hydrox (or whatever name you chose). Canyou modify the original formula to make something new and morecompetitive? Will a brand extension work here? Why or why not? Lamb, C. W., Hair, J. F., & McDaniel, C. (2014). MKTG7.Mason, OH: Cengage.