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Assume that the economy is currently at potential real GDP. Which of the following would put the economy in an inflationary gap? A) temporary increase in wages B) greater stock market wealth C) higher business taxes D) higher marginal taxes
What is fiscal policy? What kind of fiscal policy is needed to reduce unemployment problem? What is monetary policy? What kind of monetary policy is needed to fight inflation problem?
Currently there is a draft for top NFL prospects. Suppose instead that due to a lawsuit, all NFL prospects were free agents. If the assumptions of the Coase Theorem held before and after this change, what would you expect to happen to competitive bal..
Economic Projections you have just been appointed the new Economic Advisor to the U.S. Government and have been asked to develop an economic series of projections for the U.S. domestic economy for the next year. Outline your new forecast based on cur..
Robert Johnson, manager of a Kentucky Fried Chicken franchise, is thinking of introducing barbecued chicken in the product line. Its profitability will be based on the fact that the barbecue sauce will cover up the lack of freshness in leftover chick..
For each year from 2006 to 2009, calculate the dividend yield, the capital gains yields, and the total return to the stock. Express your calculations in percentage terms.
Imagine a country divided into four equally sized classes, poor, lower middle, upper middle, and upper. Within each class, incomes are the same. Imagine incomes of the poor class increase by 20%, of the lower middle class increase by 30%, of the uppe..
One month ago, they added five workers, and productivity also increased by 50,000 pages per day. Copiers cost about twice as much as workers. Would you recommend they hire another employee or buy another copier?
Jim spends all his income on apartment rent, food, clothing, and vacations. He gets a pay raise from $3,000 a month to $4,000 a month. At the same time, airfares and other vacation-related expenses increase by 50 percent. How has Jim’s budget in term..
List their yearly sales and extent of operation, what are some of their incentives to consolidate, list and describe the firms in the industry, explain the product,
Government says that firm X must pay $1000 in taxes simply because it is in business of producing a good. What cost curves if any does this tax affect and does MC change if TC changes.
Suppose that production for good x is characterized by the following production function, q=k0.5Lo.5, where k is the fixed input in the short run. if the per init rental rate of capital, r, is $15 and the per unit wage, w, is $125, then the average f..
q1. suppose a competitive firm that is profit maximizing pays a wage of 750 per week and the price of its output is 15.
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