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Suppose the government increases expenditures by ?$70 billion and the marginal propensity to consume is 0.60. By how will equilibrium GDP? change? The change in equilibrium GDP? is: ?$ billion.
?(Round your solution to one decimal? place.)
Draw a market with a negative production externality. What kind of instrument (policy) do you use? What's its magnitude? What does the policy lead agents on both sides of the market to do?
A business called TopClass, Inc. has the following Costs and Benefits: Initial Cost: $70,000, Annual Costs: $7,500, Salvage Value: $10,000, and Benefits: $25,000 for years 1 and 2, $35,000 for years 3 and 4, $25,000 for years 5 and 6. The MARR is 10%..
Find a current article about one or more of the macro variables for a nation of your choosing, such as GDP, employment, inflation, or international trade.
Use a graph to analyze the effects of the following shocks on the equilibrium quantity of savings, investment, the interest rate, and the current account in a small open economy. Assume that the economy begins with a balanced current account. Label e..
decide how line is too long and leave without getting into line. Assume that no car that actually chooses to enter line leaves without service.
A manufacturing company produces steel housings for electrical equipment. The main component part of the housing is a steel trough that is made out of a 14-gauge steel coil. Construct a frequency distribution and a percentage distribution. Construct ..
What did the Civil War change any opportunity costs in the South. Did the opportunity cost of everything rise? Or did items cost less.
Suppose that France and Germany both produce oil and cheese. France's opportunity cost of producing a pound of cheese is 5 barrels of oil while Germany's opportunity cost of producing a pound of cheese is 11 barrels of oil. France can gain from speci..
You are interviewing three people for one sales job. On the basis of your experience, you believe Jane can sell 600 units a day, Tom can sell 450 units a day and Kevin can sell 400 units a day. The daily salary each person is requesting is as follows..
Suppose the Fed purchases $1,000 worth of Treasury bonds. Suppose also that the required reserve ratio is 10%. How much money will be created in the banking system?
Government often grows to meet the demands of the citizenry and so does the costs associated with that growth. Identify an example of growth that was necessary and provide reasons why. Explain why such expansions are needed to meet the needs of socie..
Use the sticky wage theory of aggregate supply to explain what will happen to output and the price level in the long run. What role does expected price level play in the adjustment?
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