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As a result of the fall of the “iron curtain” in 1989, many Americans felt less threatened by Russia and called for massive reductions in the defense budget as a “peace dividend”.
Suppose that the defense budget had been cut by one-third, or about $100 billion. If no other policy changes are enacted, use an adequate model to analyze what would happen to output and the interest rate. Illustrate the changes that would occur by graphing the adequate curves and indicating their shifts and their economic meaning.
Create an empty stack. Add 5 numbers to the stack. Reverse the order of these numbers in the stack.
What is MPL, MPK, APL, APK? How much labor and capital would be required to minimize the cost of producing 200 widgets? What is the total cost producing 200 widgets?
If the united states experiences lower personal savings rate then it must be the case that:
Nicki lives in two periods and has a utility function u(c1, c2 ) = c1xc2, where c1 is her consumption in period 1, and c2 is her consumption in period 2. Nicki's income in period 1 (I1) is $400, and her income in period 2 (I2) is $220. She can borrow..
A monopolistic firm faces the following demand curve. Q = 8000 -10 P This monopoly's cost function has been estimated as follows: TC = 480,000 + 40 Q. What price should this monopoly charge to maximize its profit?. What would be its equilibrium profi..
Consider the production possibilities curve for a nation that can produce either consumption or investment goods. Describe and show the impact of each of the following using the PPF diagram.
Consider the following two mutually exclusive alternatives for reclaiming a deterioring inner-city neighborhood (one of them must be chosen). Notice that the IRR for both alternatives is 27.18%. If the MARR is 27.4% per year, Which alternative is bet..
It is observed that in an area with a lot of illegal immigration, the average wage of native born workers actually increased. Explain how this could have happened, using economic logic. Also, judge whether this is good or bad for the local economy.
1. For each of the following economic conditions, place an X in the table to indicate theappropriate range in the Aggregate Supply Curve
"Devoting a larger share of national output to investment would help restore rapid productivity growth and rising living standards." Do you agree with this claim? Explain, using the Solow model.
In the medical care sector, the decisions of what services should be produced, how they should be produced, how they should be distributed, and how to allow for growth and innovation must be made. What combination of non-medical and medical goods and..
Miley Cyrus, under the conditions of a court order, is required to enroll Summer session at Kardashian College. She is granted $50 a week to spend: either on energy drinks at $2.50 each or on gasoline for her Bentley at $4.00 per gallon. In part a), ..
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