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“When the Fed makes an open market purchase of government securities, the quantity of money will eventually decrease by a fraction of the initial change in the monetary base.” Is the previous statement correct or incorrect? Explain your answer.
Discuss major fundamental shortcoming of theories of cost determination in england prior to roughly 1870, why failure.
Suppose you are given the following simple dataset, regress Y on X: y=β0+β1x+u X Y 1 2 2 5 5 7 4 6 1) Calculate and . Show algebraic steps. Interpret and Calculate the predicted(fitted) value of each observation. Calculate the residual of each observ..
A corporate expects to receive $34,688 each year for 15 years if a particular project is undertaken. There will be an initial investment of $122,261. The expenses associated with the project are expected to be $7,426 per year.
The Electrotech Corporation manufactures two industrial-sized electrical devices: generators and alternators. Both of these products require wiring and testing during the assembly process. There are 260 hours of wiring time and 140 hours of testing t..
This question asks you to think of how trade can result in gains due to increasing competition and variety. You do not need to do any algebra. Suppose there two countries of equal size, i.e., both have the same number of people, S. Depict the profit ..
Discuss how an autonomous increase in the expected rate of inflation will change the equilibrium nominal interest rate. Consider an initial real rate of interest of 2 percent and an expected inflation rate of 2 percent. what would the resulting nomin..
Pretentious that yields for each stock are around generally distributed, with which investment strategy do you have the smallest chance of losing money?
When cities pass laws limiting the rent landlords can charge on apartments, the laws usually apply to existing buildings and exempt any buildings not yet built. Advocates of rent control argue that this exemption ensures that rent control does not di..
Fixed cost for a hot water line per meter of pipe is $100X + $250 per year. The cost for loss of heat from the pipe per meter is $5.4X^ -2 per year. Here, X represents the thickness of insulation in meters, and X is continious design variable. What i..
In June 2008, the U.S. retail gas price jumped from $3 to $4 a gallon. This is a 33% increase in price from January 2008. During that time, the total quantity of gasoline purchased fell by 3%. Supplies of gasoline produced also decreased from one mil..
Two clinics want to merge. The price elasticity of demand is -0.20, and each clinic has fixed costs of $60,000. One clinic has a volume of 7,200, marginal costs of $60, and a market share of 2 percent. The other clinic has a volume of 10,800, margina..
Discuss the two major economic worries faced by American politicians, unemployment and inflation, and the options available to address them.
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