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Assume the Qatari government is pursuing an expansionary fiscal policy by increasing government purchases. Show the short run and long run impact of this policy on the macroeconomic equilibrium point using AD and AS model (assume that Qatar’s economy initially operates at the potential level of GDP). You need to draw a graph and briefly explain the short run and long run impact of this expansionary fiscal policy.
Which statement is consistent with someone saying that they received $100 in consumer surplus?
Explain why does this happen. Research the recent history of gasoline pricing in your area, and attempt to relate any fluctuations you observe to documented supply and demand factors.
If the general inflation rate is 6% compounded monthly, find the Actual-dollar value and the Constant -dollar value of the 20th payment.
However, firms that have installed expensive air purification systems are able to eliminate fumes from the glue inside the plants. Suppose that 50 of these pillow-manufacturing jobs exist in firms with air purification systems, while the other 150 of..
Ann owns a lawn mowing company. She has 240 lawns she needs to cut each week. Her weekly revenue from these 240 lawns is $8,400. If given an 18-inch deck push mower, a laborer can cut each lawn in two hours. Suppose the weekly rental cost (including ..
First degree price and third degree price discrimination work to increase a firm's profits by more accurately matching willingness to pay to the marginal costs of production. First-degree price discrimination works to increase a firm's profits by con..
Recall our example of an investment of $100,000 in research that yields a pioneering invention that has no commercial value, and a subsequent investment of $50,000 in development that yields an improvement that has commercial value of $1 million. In ..
A market in which there are many firms each selling differentiated products is most likely a ________ market.
What are the main differences between microeconomics and macroeconomics? Provide an example of a microeconomic and macroeconomic phenomenon.
Does a firm need to diversify across different businesses in order to benefit from economies of scope? Why do firms continue to merge and acquire despite evidence that these transactions destroy firm value?
Write down the consumer budget constraints when young also when old the consumer lifetime budget constraint the government budget constraint also the market clearing conditions.
Human capital theory predicts that women who plan on interrupting their work career will:
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