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The rising middle class in China means millions more people are taking to the skies. There's a tsunami of retirement which is now under way in the airline industry. Chinese airlines have raised their pay offers to foreign pilots by up to 30% in the past 18 months. Show the effects in the global pilot labor market. Show the shift of supply an/or demand and explain why the curve(s) shifted.
Each of the following statements is related to the AD-AS model. Using the labels below, decide whether each statement refers to the aggregate demand curve, the aggregate supply curve, or both. Divided into short-run and long-run measures, which diffe..
If we passed a constitutional amendment requiring a balanced budget every year, this would probably. During the course of a bad recession the fed would probably be doing each of the following, except. If, during a depression, the federal government a..
Examine the following list of goods and services. Which goods and services should be included in Fredonia GDP in 2009, which should be excluded, and why.
Problem: Table Illustrates the supply and demand schedules for calculators in Sweden and Norway. On graph paper, draw the supply and demand schedules for each country.
Suppose the economy is in a long-run equilibrium, as shown in the following graph. Now suppose that a stock market crash causes aggregate demand to fall. Use your diagram to show what happens to output and the price level in the short run.
Illustrate what will be total effect on M3 money supply. Explain illustrate what steps can be taken by Fed to reduce M3 money supply in economy.
Economists believe that the current values of the deposit multiplier and the money multiplier are widely divergent. Why might these values differ at present? What (if anything) do you think must happen for them to converge once again?
If the price above the equilibrium level, would you predict excess supply or excess demand? If the price is below the equilibrium level, would you predict a shortage or a surplus? Why?
Economists discuss that there is an efficient amount of pollution abatement. Why is the efficient amount of abatement unlikely to be either zero or 100 percent?
Assume XYZ Company produces table and chairs with the following total cost function, TC=10,000+10Q+0.1Q2, where Q=quantity of chairs produced. The marginal cost (MC) is equal to 10 + 0.2Q. If XYZ Company can sell as many chairs it wishes at the curre..
Suppose that a monopolist sells a product to consumers with an aggregate demand that is downward sloping in quantity, D(Q) = 200 − 2Q. The total cost of producing Q units is C(Q) = 20Q + 2Q2. What are the consumer and producer surpluses (CS and PS) a..
When a country is forced to buy and sell currency on the international foreign exchange market to maintain its currency's value, what type of exchange rate does it use?
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