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GDP is down .5% for the previous qtr, after having been in a decline for the previous twelve months. CPI has been steady for the past twelve months. Unemployment has risen .8% during the previous quarter, after having risen steadily for the past twelve months.
(1)What phase of the business cycle is the economy in? How do you know?
(2) Do want aggregate demand to move? Which way? Why? (3) List one fiscal and one monetary policy that you could use to influence the economy, and tell how you would use them.Dec 13 2014 09:01 AM
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consider an economy with the following aggregate demand ad and short-run aggregate supply sras schedules.
There is a debate about whether sterile hypodermic needles should be passed out free of charge in cities with high drug use. Proponents argue that doing so will reduce the incidence of diseases, such as HIV/AIDS, that are often spread by needle shari..
Determine how does globalization lead to greater competition in market place? Discuss the implications for market structure in industries opened to global competition?
Under "Latest Numbers" click on Employment Cost Index. What are the recent trends in wages and salaries and in benefits? In the long run, how should these trends be related to movements in the overall price level? ExplainBack up to the home page, and..
Explain the scientific concept of "butterfly effects" the notion that a butterfly flapping its wings in Tokyo can cause a tornado in New York.
It is sometimes suggested that the federal reserve should try to achieve zero inflation. If we assume that velocity is constant, does this zero-inflation goal require that the rate of money growth equal zero
Assume the firms in an oligopoly produce a differentiated product and are initially colluding. If each firm begins to cheat (to increase sales) by underpricing the other firms, as the amount of cheating increases
a firm has two divisions each of which has its own manager. managers of these divisions are paid according to their
1. Why might federal spending on roads, waterways, or national security be less subject to direct expenditure off sets than spending on health care or education 2. What might account for the fact that estimates of effect time lags for fiscal polic..
Assume that a union's target is to maximize total wage income received by union workers, namely, the average union wage times the number of union workers employed.
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