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The following information is available within a Keynesian income-expenditure framework of the economy,where Yd is disposable income, t is the marginal tax rate and T is the government’s tax revenue:
C=120+0.75Yd I=55 G=35 T=tY t=0.2 Yd=(1-t)Y By how much should the government increase its expenditure to raise national income up to a level of 610?
Which of the following will not produce an outward shift of the production possibilities curve. reduction in unemployment rate.
Gamma corporation one of the firms which retains you as the financial analyst is considering buying out Beta Corporation. Discuss how these data provide evidence of inefficiency. How could the new manager of Beta Corporation improve efficiency?
Assuming an economy is initially at potential output, an expansionary monetary policy will: A) not affect output in the long run. B) not affect output in either the short run or the long run. C) affect output, but only in the long run. D) affect o..
a limo company specializes in transporting people to and from the airport. It competes with local taxi and public transporation as well as people deciding to drive their own cars. The demand for the firms services has been increasing as more consu..
If the elasticity of demand by students for students for MSOffice is 5, while the elasticity of demand by business professional is 2, and the marginal cost of producing another bundle of the office suite is $50, what are the profit mazimizing pric..
Alchem (L) is the price leader in the polyglue All 10 other manufacturers (follower [F] firms) sell polyglue at the same price as Alchem. Alchem allows the other firms to sell as much as they wish at the established price and supplies the remaind..
There are many more sole proprietorhips than corporations or partnerships. Why are there so many sole proprietorships Why is the revenue of the average sole proprietorship less than that of the typical corporation
Describe why personalized pricing or 1st degree price discrimination is g enerally more profitable than menu price. Why, if this is the case, do companies use menu pricing?
Northern Granite Corporation, a corporation in New England, installs granite counter tops in houses. When it 1st entered the business, price per foot for installing a granite counter top was $180 per square foot,
A price change causes the quantity demanded of a good to decrease by 30 percent, while the total revenue of that good increases by 15 percent. Is the demand curve elastic or inelastic?
What are some of the natural and artificial barriers to entry into oligopolistic industries?
A company obtained $500000 for a necessary technology from a venture capitalist who charges them 24% compounded monthly. the agreement calls for no payment until the end of the first month of the fourth year, with equal monthly payments thereafter..
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