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Use the following information to answer questions 1-3 (be sure to provide all calculations).
Quantities Produced Quantities Produced Prices
CDs Tennis Racquets CDs Tennis racquet's
Year 2004 110 200 18 90Year 2005 120 210 20 95
Compute real GDP for 2004 and 2005 using 2004 prices. By what percent did real GDP grow?Compute the value of the price index for GDP for 2005 using 2004 as the base year. By what percent did prices increase?Now Compute real GDP for 2004 and 2005 using 2005 prices. By what percent did real GDP grow?Review the GDP data for the last few years from the Bureau of Economic Analysis's Website. Give a brief summary of the GDP trends over that timeframe and discuss two or three events which may have caused these trends.
The primary difference in a change in supply and a change in the quantity supplied is,
Illustrtae what is the final impact of expansionary fiscal policy on the price-level and real output.
What do you think large corporations like Microsoft and WalMart should be regulated more or less than they are.
Suppose you are an advisor to President Obama. Illustrate what fiscal policies would you put in place.
A tariff I ssimply a tax on imports. Use our model of the excise tax (with diagram) to expain why domistic firms request that tariff? Consider both the domestic and the foreign country in your answer
Elucidate are the characteristics of the market for lemons.
Once it is describe to be elastic or inelastic, explain how do you come to that conclusion.
Compute the value of the price index for GDP for 2006 using 2005 as the base year. By what percent did prices increase.
Explain these concepts address Google's opportunities and problems. What are some political and economic policies affecting Google and how do they influence decision-making.
Assume the rural wage is $1 per day. Urban modern sector employment can be obtained.
Given an increase in spending of $1,000, and a Marginal Propensity to Consume of 80%, what would be the total increase in the GDP what would the Multiplier be?
The impact of changing from a federal income tax to a federal consumption tax would be:
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