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suppose a special tax was introduced that used the value of one's automobile as the tax base. Each person would pay taxes equal to 10 percent of the value of his or her car. Would the tax be proportional, progressive or, regressive? What assumptions do you make in answering this question? Do you think the tax that was imposed either efficient or equitable?
devaluation was comduct after the purchase and additional investment were completed, what is the new ROI.
Compute the value of the price index for GDP for 2005 using 2004 as the base year. By what percent did prices increase.
About 30 US localities circulate their own currency with names such as "Ithaca Hours" and Dillo Hours." Doing so is perfectly legal
Illustrate what will the exchange rate have to be to discourage Portuguese imports of British goods? Similarly, what will the exchange rate have to be to discourage British imports of Portuguese goods.
Consider the following Solow model of growth. Both population and work force grow at the rate of n=1% per year in a closed economy.
Discuss some of the problems associated with hyperinflation--use the first article to provide examples of the problems with inflation
Suppose that there is a cultural shift in America emphasizing the importance of saving money as opposed to current consumption. a.) Illustrate the impact on the interest rate in the market for loanable funds. What direction does the interest rate go?..
Graph the accompanying demand data, and then use the midpoint formula for Ed to determine price elasticity of demand elasticity of demand.
Calculate the Consumer Price Index in each year and calculate the inflation rate from 2010 to 2011 and then from 2010 to 2013 using the calculated CPIs.
Elucidate the policy which change, you would recommend also how this change would be financed.
The economy of a country called Econoland is described by the following desired aggregate expenditure components (all figures in billions of $). For the purposes of this question, the first set of equations will be referred to as fiscal policy1.
Interferences such as rent controls and farm value supports reduce efficiency of markets. In terms of the balance of Qd and Qs, explain why do they do this?
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