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A country imposes a tariff on imports from abroad. How does this action change the long-run real exchange rate between the home and foreign currencies? How is the long-run nominal exchange rate affected?
Can all Pareto optima be decentralized without changing endowments? Can they be decentralized by redistributing endowments?
Suppose insurance companies have access to the results of genetic tests and they require all customers to get the test. How will the insurance company change its price of X insurance?
Considering the economic costs of shopping, which option is better, i.e., shopping in Kuala Lumpur or shopping at Klang, Selangor?
Is there an opportunity for beneficial exchange?
Why is self-regulation by the audit profession in the US no longer in place?
Assume that when the price of good X is $10, each, I buy none. When the price is $9 each, I buy 1 per period. When the price is $8 each, I buy 2 per period. When the price is $7 each, I buy 3 per period.
Keynes rejected the classical notion of Say's law. He argued that under-spending was very likely. Keynes focused on aggregate demand (total spending) as being the key determinant to the level of macroeconomic activity not aggregate supply which wa..
The methods of achieving cost reductions are difficult to imitate.
Calculate the percentage return on the security if the payoff to the security in one year is $1,000, $1,500, $2,000, or $2,500. (Note: This is the total amount returned to the investor, so you may just calculate the total return and not worry abou..
Show that the expression of the change in a product's currentequilibrium quantitty due to a unit change in the product'sexpected future price is: dQ = (SpDpe - DpSpe)dP / (Sp-Dp) where Sp and Dp are partialderivatives with respect to current price
Assume that the Bank of Ecoville has the following balance sheetand the Fed has a 10% reserve requirement in place:What is the maximum amount of new loans that this bank canmake Assume that the bank makes these loans. What will the newbalance sheet l..
A firm has standard shaped costs where the minimum of AVC is $15 at a quantity of 9 and the minimum of ATC is $45 at a quantity of 15. The fixed cost is $345. Draw a picture of the MC, ATC, and AVC for this firm specifically labeling the values fo..
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