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Can you relate the Classical and/or Keynesian macroeconomic models to assumptions about economic behaviors and to economics policies being implemented in the U.S. economy today? Discuss this with your group members. Is there anything that you've learned studying these models that gives you a better understanding of why the Obama administration's economists requested Congress to approve the "stimulus package"? Is there anything that you've learned studying these models that gives you a better understanding of alternative proposals that have been set forth for economic growth (or criticisms of the current policies)?
Health savings accounts (HSAs) A. allow employees, but not employers, to make tax-deductible contributions to an account. B. are accessible to those with qualifying insurance plans with annual deductibles of $500 or more. C. are accessible to employe..
Due to the recession that lowered income, the market price of good X got lower. For good X, we assume that Qd(P) = 1000 − P +Y/20 , and Qs(P) = 2P −Y/20 , where Y is the income, and P is the price of good X. (a) Derive the equilibrium price P ∗in ter..
You live in a small town with basic medical care facilities and a couple of general practitioner physicians. One of the physicians has said that your cousin needs to be seen by a specialist. However, the nearest specialist is 3000 miles away, on the ..
In 2014 in a country with a labor force of 100 million, 6 million people were unemployed. In 2014 the number of unemployed people increased to 7.750 million. Assuming that the labor force did not increase in 2014, use the Okun’s law and formula predi..
Discuss the conditions that will help the union achieve the objective. Why might a union be unable to meet its goal?
Under the guidance of a good manager, a monopolistic ally competitive firm spends an optimal amount of its revenues on advertising. Last month the firm spent $2,500 of its 510,000 revenues on advertising. If its advertising elasticity was 0.5, what w..
Which of the following action(s) the Central banks can use to control movements in exchange rates
If insurance companies are required to offer coverage to all interested people, it is said that premiums for each person will be increased. Assume that the insurance market is perfectly competitive. What is the major reason for raising the premium?
Use a diagram to show whether society (including only those who were in the country prior to immigration and not the well-being of the immigrants) is better off or worse off following immigration. Explain your diagram as necessary.
Which of the following methods of stimulation the economy provides the federal government with the greatest control over how the stimulation takes place? – decrease in interest rates, a decrease in income tax rates, an increase in investment incentiv..
Suppose that the U.S. government decides to charge wine producers a tax. Before the tax, 20,000 bottles of wine were sold every week at a price of $4 per bottle. After the tax, 13,000 bottles of wine are sold every week; consumers pay $5 per bottle, ..
Milton Friedman said the free markets are a necessary but not sufficient conidtion for political freedom. Which of the following events would support Milton's hypothesis?
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