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A consumer receives income y in the current period, income y in the future period, and pays taxes t and t' in the current and future periods, respectively. The consumer can lend at real interest rate r. the consumer is given two options. First, he or she can borrow at the interest rate r but can only borrow an amount x or less, where x < we - y + t. Second, he or she can borrow an unlimited amount at the interest rate r2 where r2 > r. Use a diagram to determine which option the consumer chooses and explain your results
Elucidate how changes in government spending also taxes positively do or negatively affect the economy's production also employment.
If lots of people want Euros also Euros are in short supply also a few people want Japanese yen also yen are in plentiful supply the euro is likely to.
Describe the pros and cons of protectionism and free trade. Discuss which you feel is better for the economy? Why?
When the prices reduces to $9 the restaurant sells 200 per day. Provide the absolute value of the price elasticity of demand.
Most industrial farms hire migrant workers, so the market for such workers is reasonably taken to be perfectly competitive. Suppose that all farms individually have a short-run elasticity of labor demand of –0.5. Explain why the reduction in employme..
What is amount of China's foreign reserves by end of 2004. What problem is China facing as it continues to build huge foreign reserves.
A pure monopolist determines that at the current level of output the marginal cost of production is $2, average variable costs are $2.75, and average total costs are $2.95. The marginal revenue is $2.75. What would you recommend that the monopolis..
Elucidate how much they can accumulate over 25 yrs if they move the money into a money market mutual fund earning 5 percent.
Illustrate what are the most important determinants of the demand function that a firm faces for the commodity it sells.
Analyze the forms of aid to developing nations and determine which have the greatest and least amount of impact on a country during a natural disaster.
Neal Rubin, while driving his car in Chicago, inadvertently blocked the path of a Yellow Cab Co. taxi driven by Robert Ball, causing the taxi to swerve and hit Rubin’s car. Angered by Rubin’s driving, Ball got out of his cab and hit Rubin on the head..
Consider both sides of the argument and come to a decision of whether to close the plant or continue to operate it. How would you explain to either the president or the CEO that he or she is wrong?
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