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The labour market
Should Congress increase the minimum wage?
A. By how much?
B. If increased will it help or hurt small businesses?
C. Is your employer affected by increases in the minimum wage?
D. In what way is your employer affected by minimum wage increases?
What takes place to the equilibrium price and quantity of ice cream in response to each of the following? Describe your answers.
The utility function of a worker is represented by U(C,L) = C X L, so that the marginal utility of leisure is C and the marginal consumption is L.
A pure monopolist determines that at the current level of output the marginal cost of production is $2.00, average variable costs are $2.75, and average total costs are $2.95.
Calculate the book price and quantity effects of the local 8% sales tax. With perfectly elastic demand, who pays the economic burden of such a tax?
Graph these data using "dollars" on the vertical axis and "quantity" on the horizontal axis. At what output is revenue maximized?
In the 1970s people had become accustomed to high inflation. In 1979, Bank of Canada decided to fight inflation and decreased the money supply growth rates.
According to economist, if savings equal $5 trillion and spending equals $100 trillion, what will investment equal?
Using the IS/LM/BP model, demonstrate the effect of each of the following changes. Assume that the economy is a small country with perfect capital mobility and a flexible exchange rate.
Describe the present economic crisis situation in Europe. Why has it been so difficult for the Europeans to find a solution to this problem? Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..
Elucidate three arious ways in which the Federal Reserve would change the money supply.
Show the changes to the T-accounts for the Federal Reserve and for commercial banks when the Federal Reserve buys $50 million in U.S. Treasury bills.
The questions posed are broad and open ended so be careful to allow yourself enough research and planning time.
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