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1. Why doesn't the United States just give its chop surpluses to poor countries? What problems might such an approach Crete?
2. If two-third of all U.S. farms fail to earn a profit, why do they stay in business?
3. You need a government permit (allotment) to grow tobacco. Who gains or loses from such regulation?
The Federal Reserve System is structured in such a way as to insulate monetary policy from the political pressures characteristic of the rest of our political system of representative democracy. Do you agree or disagree with this quote? Explain your ..
The People's Bank of China, the country's central bank, raised the reserve requirements of its top commercial banks to put a squeeze on the credit market
Identify an instance where a price control is used in our markets. Why do you think this price control exists? Also discuss the possible negative effects it may have on the market
Suppose there are two types of movie: Arty (A), and Popcorn (P). These films may be either Decent (D) or Terrible (T). 35% of all movies are Arty. 20% of all movies are both Arty and Decent. If a film is a Popcorn, there is a 75% chance that it is Te..
In the specific factors model predict who seeks protection against trade and who does not. Explain your answer. How does your answer change in the Hecksher-Ohlin model? Explain
Illustrate what is equilibrium level of Aggregate Expenditures in this economy. At equilibrium, illustrate what is level of Consumption in this economy.
Elucidate what could be done to encourage people to spend more so as to increase aggregate demand and, invariably, create employment possibilities.
Esteez Construction Company has an overhead crane that has an estimated remaining life of 7 years. The crane can be sold for $14,000. If the crane is kept in service it must be overhauled immediately at a cost of $6,000. Operating and maintenance cos..
Draw diagrams to explain how shifts in aggregate supply and demand are likely to lead to changes in output and inflation when:
Today, most of our monetary transactions are done with plastic or via bank apps, all of which are easily tracked. Even craft vendors at small town festivals use apps on their smart phones and tablets to accept cashless payments. What behaviors would ..
What are the relevant facts and figures about this company? For example, where is its headquarters? How many hotels/rooms are owned or identified with that company?
The demand and supply functions for basic cable TV in the local market are given as: Q(D) = 200,000 - 4,000P and Q(S) = 20,000 + 2,000P. Calculate the consumer and producer surplus in the market. If the government implements a price ceiling of $15 on..
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