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You have been assigned to determine whether the economy is experiencing a credit crunch. What patterns in movements in the federal funds rate, the volume of bank lending, and the volume of short-term lending in financial markets will you look for? Why?
Determine what did classical economists suppose about flexibility of values, wages, and interest rates and what disagreements did Keynes have with classical economists?
Find the equation of the new demand curve for Chevrolets. What is the relationship between D C and D' C ? What explains this relationship?
If the Federal Government is giving more than it receives in tax revenues in an effort to reduce unemployment
Define unemployment. Should everyone who does not hold a job be considered "unemployed" To help with your answer, draw a supply and demand diagram depicting the labor market. What is measured along the demand curve
Is there an externality? If so, describe it, including references to whether it is positive or negative, and whether it is a consumption or production externality. If there is an externality, does it seem likely that private markets will arise tha..
Suppose you tested svereral Firestone tires also recorded their failure times. Decided taht failures are normally distributed.
John Piderit the general manager of the Western Tool Company is considering introducing some new tools to the company's product line. The top management firm has identified three types of tools (referred to as projects A, B, and C). the various di..
Suppose that a small town uses a referendum to overcome free ridership problem & determine how its residents might value a new water filtration system for its public water supply.
Suppose that, as the chair of the Fed, you decide to "put policy on automatic pilot" and needs that monetary policy follow an established rule.
Elucidate several dimensions of the shareholder-principal conflict with manager-agents known as the principal-agent problem.
What is the implication for the expected value and standard deviation of the returns on your portfolio if you invest in N (instead of only 3) of these assets and N becomes very large?
Consider a product with a supply function Q 1 = β 0 + β 1 + u 1, a demand function Q d i =y 0 +u i d . Show that P i and u s d are correlated.
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