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Assume that the country is in a period of high unemployment, interest rates are at almost zero, inflation is about 2% per year, and GDP growth is less than 2% per year. Suggest how fiscal and monetary policy can move those numbers to an acceptable level keeping inflation the same. What is the first action you would take as the president? As the chairman of the Fed? Why? What would be your subsequent steps? Make sure you include both the positive and negative effects of your actions and include the trade-offs or opportunity costs.
Explain how the invisible hand fights back when government try to overrule market forces with price controls.
In October 2004 and 2005, real GDP in the United States increased by 3.6 percent, while nonfarm payroll jobs increased by only 1.4%.
how would outcomes be affected if people, on average, preferred to work for themselves rather than for someone else, i.e., if on average people preferred self-managed to alienated labor?
Suppose your corporation operates in MS Delta and imported inputs are used in final product. The final item is then exported to the rest of the world.
At which point do you reach equilibrium. Also explain why is that considered equilibrium.
Diffrence between Federal funds rate and the prime interest rate. Explain why is one higher than the other? Why do changes in the two rates closely track one another
Derive the expression for the LM schedule in the form i= f(Y), when the money demand function is Md = 680 + 0.8Y - 20i, and the money supply function is M^S = 880.
Determine additional dollar cost of adding sales people and how is the expected net revenue generated through adding an additional salesperson given a firm's past sales experience?
Consider the market for electricity. Suppose demand (in megawatt hours) is given by Q=50-p and that the marginal private cost of generating electricity is $10 per megawatt hour (p is the same units). Suppose further that smoke is generated in the ..
calculate the expected value of each investment. draw a bar chart for each investment. calculate the standard deviation of each project. Determine which of the two investments the investor should choose.
Florida Citrus Mutual, an agricultural cooperative association for citrus growers in Florida, needs to predict what will happen to price and output of Florida oranges under situations below.
Illustrate what are possible causes of a movement up or down along the demand curve. What are possible causes of a movement up or down along the supply curve.
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