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In the market for flash memory drives ( a normal good), exlpaing whether the following events would cause an increase or a decrease in demand or an increase or decrease in the quantity demanded. Also explaing what happens to the equilibrium quantity and the market clearing price.
Firm A produces three products. Firm A uses labor costs as a cost driver for support costs. Direct labor is estimated at $20 per hour.
Import Quotas also voluntary export agreements are often used instead of tariffs. What are the differences.
Suppose the banking system is in reserve equilibrium. The Fed conducts an open market purchase of Treasury securities in the amount of $1 billion.
Illustrate which of the following statements are examples of positive economic analysis. Which are examples of normative analysis.
Illustrate what are the effects of the current tax policy on US businesses in the short-run and in the long-run.
The Federal Reserve's publishes the H.3 Statistical Release-Aggregate Reserves of Depository Institutions and the Monetary Base-weekly. Recent releases show that the composition of the supply of total reserves
Use your own employment experiences and be sure to identify the sector in question, how would you relate the hiring practices of that industry or industries to fluctuations in the business cycle?
This reduction in demand will push the equilibrium price and quantity back to its original level. Since the equilibrium price remains unchanged, smokers will consume the same number of cigarettes" Do you agree or disagree with this view?
Explain what caused the Financial Crisis of 2007-2009 and explain how in the economy could be self-regulating in the long-run and should recover from the Great Recession.
Assume that the legal reserve requirement is 10 percent on all deposits. Suppose BoA has $200 million in checkable deposits, $30 million in reserves, $50 million in securities, and $150 million in loans. What is BoA's bank capital? Draw a balanc..
Suppose that two power plants, company 1 and 2 release sulfur dioxide (SO2) in a small urban community that exceeds the emissions standard.
1.)What major business cycle facts does the RBC theory explain successfully? Does it explain any business cycle facts less well? 2.)How would governmental expansionary policy affect the economy according to both theories (classical and Keynesian)? ..
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