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Analyze the history of changes in GDP, savings, investment, real interest rates, and unemployment and compare to forecast for the next five years.
Analyze how monetary policy could influence the long-run behavior of price levels, inflation rates, costs, and other real or nominal variables.
How trade deficits or surpluses can influence the growth of productivity and GDP.
We might say a society is just if and only if it is organized so that the distribution of wealth within works to the benefit of the least well off. Do you agree with this conceptual theory of what a just society is, or not?
An important employment level is called full employment.
In a certain economy, when income is $100, consumer spending is $60. The value of the multiplier for this economy is 3. It follows that, when income is $101, consumer spending is? How to solve the problem
If the government were to increase taxes on gasoline, what will happen to the total government revenue? Why? What are you assuming about the elasticity of the demand curve of gasoline? What is the formula for elasticity? Would the government make mor..
Consider a monopolist whose total cost function is TC = 20 + 10Q + 0.3Q2 and whose marginal cost function is MC = 10 + 0.6Q. The demand function for the firms good is P = 160 - 0.5Q. The firm optimizes by producing the level of output that maximizes ..
The Wellness Center is an organization providing help to distressed students on campus during the two weeks exam period at the end of every semester. You’ve been hired as a business consultant to help the Center develop a hiring policy so that it can..
In this week's readings from The Travels of a T-Shirt in the Global Economy, the author describes the concept of government subsidies as "tools to help assure the financial success of cotton farmers in America."
Pilgrim Bank Study. A. Is there a difference in profitability across regular vs. online customers? B. How should we deal with missing data? C Using a regression model, is there a difference in profitability across the two customer types and if so, ho..
Jessica Alba, a famous actress, starts the baby and family products business, The Honest Company, with Christopher Gavigan. Are they likely to make economic profits initially? Can they continue to make economic profits in the long term? Why or why no..
Consider a (closed) economy in which GDP (Y) equals $15 billion, consumption (C) equals $9 billion, government expenditures (G) equal $2 billion, and tax revenue (T) equals $1 billion. What is national saving equal to in this economy?
In a market served by a monopoly, the marginal cost is $60 and the price is $110. In a perfectly competitive market, the marginal cost is $60. What would happen to the price in each market if the marginal cost increased from $60 to $75?
How does this change in tax policy affect the price that buyers pay sellers for this good, the amount buyers are out of pocket including the tax, the amount seller receive net of the tax, and the quantity of the good sold?
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