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What has Pres. Bush proposed for government expenditures in the case of a recessionary gap? What is the effect of his policies on the federal government budget? Please use the multiplier effect in your analysis.
Article: Why you should worry about big oil. The oil industry is in the business of extracting and selling oil. It is the goal of the oil companies to do this as efficiently as possible.
For a perfectly competitive firm the price is $2 per unit. At this price the firm is producing and selling 10,000 units. It costs $1.50 to produce the last unit. Should the firm produce more? Less? Why?
Explain how each of the following will affect the relative values of the dollar and the euro:
Find the following: First solve this problem using an Excel spreadsheet approach and then do the problem using the optimization procedure; compare the answers for the two methods.
Define and describe the difference between the absolute advantage and the comparative advantage.
A firm uses two inputs, unskilled labor (L) and capital (K) to produce its product. The wage rate for one unit of labor is $5, while units of capital cost $20.
Describe (in a sentence or two) the short run profit maximization condition when labour is the only variable input? What will happen to the labour demand if price of the output goes up?
What is Nash Equilibrium output for his supposing that the two firms choose their production quantities simultaneously?
Discuss the short-run movement toward equilibrium in the currency markets in a flexible exchange system.
In the following list a number of well-known companies and the products that they sell. Which of the four types of markets (perfect competition, monopoly, monopolistic competition, and oligopoly)
Explain the influence that transferable property rights versus non-transferable property rights, has on individual decision making.
What is the difference between the medium of exchange and the store of value? What is the difference between commodity money and fiat money?
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