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a. What factors might increase the demand for bonds? The supply?
b. What would happen to the market for bonds if a law were passed that set a minimum price on bonds that was above the equilibrium price?
Over the past 30 years, health care expenditure in the U.S. grew at an average rate of 3.7% per year plus the rate of inflation, while expenditure on all other goods grew only 1% per year plus the rate of inflation. What seem to be the main reasons w..
Would like everyone to consider two very important concepts of economics this week: absolute advantage and comparative advantage. Both terms are critical, especially on a macroeconomic level. Countries must think about what they are going to produce ..
Given that labor is a resource that needs to be used efficiently, what responsibility do you feel the government has in decreasing unemployment? Does the negative relationship between inflation and unemployment have any impact on your decision?
Given that the US economy production function (to calculate current GDP and potential GDP) is : GDP = Y= F(K,L,N) = 0.04K+0.03L+0.03N. The current GDP is produced with K=200, L=100, and N=100, the full employment GDP (potential GDP) can be potential..
Determine the application of behavioral economics in explaining individual choices and the effectiveness of public policy. In “Should Policies Nudge People to Make Certain Choices? After reading and evaluating both sides of the discussion, which side..
During the first 13 weeks of the t.v season the Saturday evening 8:00pm-9:00pm audience proportions were recorded as ABC 29% CBS 28% NBC 25% and independents 18%. a sample of 300 homes two weeks after Saturday night schedule revision yielded the foll..
To earn economic profit, a monopolist must charge a price that:
A car manufacturer claims that its vehicles average at least 25 miles per gallon.
Appalachian governors supported the establishment of the Appalachian Regional Commission (ARC) in the early 1960s. However, some politicians from outside the region felt that issues such as poverty and economic development should be addressed nationa..
Determine the market rate of substitution. (b) In your graph show the budget set. (c) If PX doubles, what happens to the budget constraint. Show this effect in your graph. (d) What is the meaning of the slope of the two budget constraints?
Suppose there are two types of law school students: Short-haired and Long-haired. Additionally, law students generally choose between two types of firms when they graduate: Big and Small. Then, what is the probability of being both Short-haired and w..
What is the Law of Supply? How do we illustrate the Law of Supply? Give an example of the Law of Supply use two to four sentences to explain your example. Indicate whether the following are considered a change in supply or a change in quantity suppli..
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