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Unable to borrow from other banks, University Bank is forced to turn to the Federal Reserve for needed funds. What is the interest rate the Federal Reserve will charge University Bank called? open market operations required reserve ration federal funds rate discount rate simple money multiplier
Explain the concept of devaluation, and explain the effect devaluation has on the price of a country's imports. What some effects on the industry? Buying and selling countries? Give an example that supports your claims.
Briefly compare and contrast the price adjustment mechanism under fixed exchange rates to that under flexible exchange rates. Why is a price adjustment necessary under a fixed-rate system?
explain the concept of diminishing marginal utility. since all goods are scarce, does diminishing marginal utility contradict the statement that individuals always want more of all foods?
Suppose the daily demand function for pizza in Berkeley is Q = 1,525 – 5P. The variable cost of making Q pizzas per day is C(Q) = 3Q + 0.01Q2 , there is a $100 fixed cost (which is avoidable in the long run), and the marginal cost is MC = 3 + 0.02Q.
Consider the argument made by Thad Williamson, article 3.4 in Real World Micro . Does "more" make us happier? If not, then why do we produce more? In your answer, consider the difference between the circuit of production under capitalism and that..
Suppose in the Cournot model that the firms have different production costs. Let c1 and c2 be the costs of production per unit for firms 1 and 2 respectively, where both c1 and c2 are assumed less than 1/2. Find the Cournot equilibrium.
The price elasticity of demand is -1.2. What type of elasticity is this?
The Australian national electricity transmission grid links eastern states including New South Wales, South Australia, and Victoria, but does not link Western Australia. How would price changes in Western Australia affect the other states?
Which of the following transactions would be recorded as a credit in the U.S. current account?
Could the bailout by the Federal Reserve in 1998 and subsequent closing of the fund in 2000 be seen as a precursor of the 2008 Bear Sterns bailout, Lehman Brothers failure, credit crisis and subsequent bank bailout?
How vegetarians sometimes have trouble making sure they get enough protein in their diets.
Mia is the only seller of baskets to the people in this village. They purchase baskets according to the blue demand curve. Let's examine the sales revenue (which equals price times quantity) Mia would receive if she were to set the price somewhere in..
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