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Imagine knowing with certainty that interest rates will not change over the next five years. Identify how this fact would change the behavior of a business of your choice.
Motivation (Why are you doing this study? To get clarification on whether the current policy in place is optimal choice) Brief (conflicting theory (ricardian and Keynesian)
The marginal propensity to import increases from 0.3 to 0.4. Find the new multiplier of the economy and explain why the multiplier has changed.
The nation is divided into __12______ Federal Reserve districts, each having a Federal Reserve Bank.
Why should the govt monitor money supply? If we are in recession today, which one of the three tools of monetary policy would you suggest and why? And explain in detail how your choice of tool would help the economy?
Imagine that you are the Chair of the President's Council of Economic Advisors. You need to prepare a briefing for the president on the status of the economy. Write a 1-2 paragraph on how the economy is generally doing. (For instance, determine if..
Visit the Bureau of Labor Statistics website, and click on "Employment Situation Summary" to get the most up to date summary of unemployment in the United States.
Assume that Kiribati can produce 1000 tons of breadfruit or 500 tons of fish, and that Tuvalu can produce 750 tons of breadfruit or 1875 tons of fish.
Often it is claimed that banks create money by making loans. How can commercial banks create money? Is the government the only institution that can legally create money?
Using the static classical AD/YP model, demonstrate the effect of each of the following changes.
How much does the gross price increase in each market
Use a chain reaction to explain the impact of a reduction in the budget surplus on GDP (use a complete chain reaction). Is this an example of expansionary or restrictive fiscal policy?
Suppose a government is established in a country where none previously existed. The government spends 80, financed by borrowing, to provide public services. If autonomous consumption plus investment is 210 and the marginal propensity to consume MP..
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