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State how each of the following affects the ADI curve, and EXPLAIN.
a. An increase in government purchases.
b. A cut in taxes.
c. A decline in planned investment spending by firms.
d. A decision by the bank of Canada to lower the real interest rate at each level of inflation.
What is the new equilibrium price and quantity. Elucidate how much do dairy farmers receive per gallon of milk after the tax? how much do demanders pay.
Compute the marginal and average tax rates for three individuals respectively earning $70,000, $93,500 and $200,000 annually.
q1. find the equilibrium price and quantity after the shift of the supply curve.q2. a machine used to cereal boxes
Two firms are competing for output. The leader firm knows the market demand to be P=1200-Q with the follower firm demand Q2=400-0.5Q1. Both marginal costs is $200. How much will the leader firm produce?
A producer would not remain in Stage 1 because APP
How do you recover an investment when the residual value is significantly less than the loan value.
Explain the following business cycle theories
Given a production Yt=(Abar)Kt^(1/3)Lt^(2/3) and K*=1000 and Abar=3/2. and also there are Lbar=1000 workers who supply labor in elastically. What does the long run model say wage in this economy is?
Compare the consumption levels of workers in both countries. Explains the diversity between the countries.
What are the equilibrium price and quantity in this market? At the market equilibrium, what is the price elasticity of demand and the income elasticity of demand?
Phil has two periods of work remaining prior to retirement. Assume that Phil maximizes the present value of his expected lifetime earnings and his discount rate is 10 percent. He is currently employed in a firm that pays him the value of his marginal..
Which economic decision makers determine the demand for labor. What are their goals. Illustrate the decision criteria do they use to reach their goals.
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