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1. What is Keynesian economics? Explain how policymakers used Keynesian economics in response to the Great Recession. Be sure to include discussion about the types of fiscal and monetary policies that were used.
2. What is a long-run consequence of running persistent budget deficits? Why is it a problem? Provide reasons from the textbook or reasons discussed in the (2008) movie, I.O.U.S.A.
3. If conventional monetary policy can no longer lower interest rates, what option(s) does the central bank have to stimulate the economy? Provide an example of the Fed's actions listed in the textbook or from the October 30th FOMC press release.
4. If the economy is currently in a long-run equilibrium and the central bank increases the money supply, what effect does this have on the aggregate price level? Explain why it is important to insulate central bankers from political pressures in their conduct of monetary policy.
Draw a diagram showing the current situation of the firm. In addition to the above information, suppose the price of the output is $13/unit, if the firm wants to maximize its profit, what should it do? Explain in detail with the aid of a diagram.
British Prime Minister Lady Thatcher planned a poll tax that levied an equal amount of tax on every citizen regardless of his or her income.
Illustrate what are three key macro-economic indicators that you could use to assess conditions that apply to your reference organization.
Illustrate what are the two main challenges of the international trading system? How have these concerns been negotiated among trading partners.
Determine which of following independent projects should be selected for investment if $325,000 is available and the MARR is 10 percent per year
You need $50,000 cash throughout year. Your time is worth $100 per hour and it takes you a half-hour to get cash from your ATM. Your bank is paying 5% per annum passbook savings.
Determine the economic implications for the United States of the increase of China and India as significant economic powers.
If this year's profit (end of year 1) is expected to be $6,000 and the profit trend continues (i.e. the profit at the end of year 2 is $7,200 and so on) for four years, find the present worth of the profit at an interest rate of 9% per year.
Joining marketsplace or developing countries across the world has presented attractive opportunities to global companies and thus, boosted FDI.
Starting from the uncontrolled level of pollution claculated in part c, find the marginal willingess to pay for polloution abatement, A, for each consumer class (Abatement is reduction in pollution; zero abtement would be associated with the unctr..
Which is more likely to return the European economy to long term growth, austerity (reducing public debt) or deficit finance (increasing public debt)? Use economic models to analyse this question.
Many home improvement retailers like Home Depot and lowes have low-price guarantee polices. Do these types of pricing strategies result in cutthroat competition and zero economic profits?
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