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Assume that a hypothetical economy with an MPC of 0.75is experiencing a severe recession.
By how much would government spending have to rise to shift the aggregate demand curve rightward by $50 billion?
How large a tax cut would be needed to achieve the same increase in aggregate demand?
Determine one possible combination of government spending increases and tax increases that would accomplish the same goal.
How does the share of income spent on each good change with pb? If consumers' preferences defined by a Cobb-Douglas utility function, what does your result suggest about their expenditure patterns?
Illustrate what are the two main challenges of the international trading system? How have these concerns been negotiated among trading partners.
What problems arise in estimating whether an equal income distribution is fair or not? Diuscss the difference between income and wealth?
Elucidate action did the FOMC take, if any, as per the level of the fed funds rate. Why did it make this choice
Provide a graph of the Solow model, indicating the position of the golden rule level of saving (SR), and explain why it is preferred.
Write down a response in APA format that provides an economic profile of the trucking industry.
Clutch and Buzz are both thirty years old. Both are saving for retirement. Clutch is also saving in order to make a down payment on the purchase of a new home. Buzz plans on renting an apartment indefinitely.
Suppose the equation for th LM curve is Y=13500+100r. Use this equation to explain the level of income at which there is a zero lower bound on the federal funds rate, the interest rate that the Fed controls. C) Graph the LM curve for interest rate..
Discuss the differences among commodity money and fiat money, making sure to explain what makes fiat money work.
Sandy James thinks housing values stabilized last months. To convince boss, intends compare current prices year prices. She collected 12 housing prices adds:
Analyze the modern notion of microfoundations with Marx's 'real foundation' for the analysis of economic activity.
Elucidate the one thing, regarding the role of the government that separates classical economic theories and Keynesian economic theory.
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