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It is customary for the News media to report about consumer confidence and investor confidence while discussing the national economy. How do you think the confidence of the economic agents affect the economy? From personal or work experience, state factors that could cause increase in consumer spending and investor investment. Do consumer and investor confidence trend reports affect your spending pattern? Explain
Assume the supply function for good X can be written as Qs = -100 + 27Px - 5Py - 1.8W, where px=the price of x, Py=the price of good y, and w = wage index for workers in industry x. According to this equation: 1. each one unit increase in price cause..
Explain the origin of the Human Development Index. Explain the method of calculating Human Development Index.
A department store has offered you a credit card that charges interest at 1.05% per month, compounded monthly. What is the nominal annual interest rate (APR) for this credit card? What is the effective annual interest rate?
Illustrate what does it imply about actual price level relative to expected price level. Illustrate what must happen to real and nominal wages in order to close a contractionary gap.
q.suppose that a banks customer deposits 4000 in her checking account. the required reserve ratio is 0.25. what are the
Guest Corporation issued (sold) 1,000 shares of its no par common stock for $110 per share. The bylaws established a stated value of $100 per share. The transaction is recorded as an increase in contributed capital of a. $ 100,000. b. $ 110,000. c. $..
According to studies undertaken by the Department of Agriculture, the price elasticity of demand for cigarettes is approximately -0.3 and the income elasticity is approximately 0.5. What effect would a 10% increase in the price of cigarettes due to i..
Many years ago, the traditional mortgage loan structure specified:
How much would government get if it introduced a 15 percent income tax? Revenue $ d) How much would government get if it introduced a 15 percent sales tax on final output?
Illustrate what means do they use to hedge against exchange rate risk. Using this information.
If today's production of capital goods exceeds the depreciation of capital.
This might be interpreted as an upward shift in the consumption function. Elucidate how does this shift affect investment and the interest rate.
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