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When the government runs a deficit, it spends more than it collects in tax revenue. To make up the difference, it borrows. So if it runs a deficit of 7 trillion ducats, debt increases by 7 trillion ducats. So debt next year is 147 trillion ducats. Suppose that there is no growth in real GDP and inflation is equal to -2% per year. (Negative inflation is the same as deflation.) Measured in ducats, what will GDP be equal to next year?
Explain how does economists distinguish between the absolute and relative sizes of the public debt.
There are three types of plant: coal, natural gas, and hydroelectric. The three types of plants face the costs appearing in the table above.
The Road Runner Club contributes money to Senator Sly's reelection campaign fund, and Senator Sly helps pass legislation to add more jogging paths across the state
Why the adverse effect on output is larger when the Fed is decreasing money supply than holding it constant.
Illustrate what is the capital account balance. Illustrate what is the financial account balance.
Dependency theory characterizes countries as being either in the center or on the periphery
Why might the Homo sapiens production possibilities curve have shifted outward to the right much more rapidly than those of Neanderthals.
Evalute with 95% confidence the decrease in percentage support between now and 6 months ago.
If the firm's MARR is increased to 25%, what would be the required savings in leasing so that the project would remain profitable.
Explain how much will your firm's total revenues (revenues from both products) change if you increase the price of good X by 1 percent.
Using the concept of opportunity cost also PPF explain the phrase affluence tomorrow requires sacrifices today
A December 2007 issue of The Economist contained the following quote in an article about Germany: "The government has just chopped the payroll tax that finances unemployment insurance, which should encourage employment." Comment on this statement,..
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