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A fractional reserve bank creates money. Are there any limits to how much it can create? Does a large bank face the same limits as a small bank? What would be the limits for a large bank that was the only bank in the country?
A series of quarterly payments of $750 for 20 years is economically equivalent to what present sum, if the quarterly payments are invested at an annual rate of 12% compounded quarterly?
Should financial institutions be prevented from becoming too big to fail? What criteria should be followed in making such judgments? 2. Should consumer decisions concerning loans be regulated? 3. Should governments use public money to bail out failin..
During the course of a week, McDonald's has enough time to hire or layoff workers, but it does not have enough time to expand its kitchen or add an additional seating area.
The marginal cost of producing the 101st unit of output is $300. Illustrate what is the total cost of producing 101 units
If you were a manager at PepsiCo, would you try to convince your colleagues while introducing the new soft drink is the most profitable strategy.
A wealthy businessman wants to start a permanent fund for supporting research on sustainability. The donor plans to give equal amounts of money for each of the next five years, plus one gift now (i.e., six donations in total), so that $100,000 per ye..
If two goods are supplements, their cross price elasticity will be:
Explain the effects of monetary policies on the economy's production also employment
During the 1970s the postwar baby boomers reached working age, and it became more acceptable for married women with children to work. predict how this increase in the number of working is likely to affect the equilibrium wage and quantity of emplo..
Suppose production price is 20. The firm views that price as beyond its control.
Home Country: Given that the total market of the Home country is 900,000 units. Given the equations and parameter values above, solve for the equilibrium number of automobile companies, the number of cars each firm will produce, and the price of the ..
Suppose the federal reserve made a mistake and caused a recession. Then we should observe A. a high rate of money growth. B. potential output decreasing. C. interest rates rising as output falls. D. inflation increasing as output decreases. E. inflat..
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