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Suppose that the level of GDP increased by $100 billion in a private closed economy where the marginal propensity to consume is 0.5. Aggregate expenditures must have increased by: A) $100 billion. B) $50 billion. C) $500 billion. D) $5 billion.
What would happen to the budget deficit if the: GDP growth rate jumped from 1 percent to 3 percent? Inflation increased by 2 percentage points?
A company has acquired a paint booth (see prices). The anticipated life for the booth is 14 years but the company plans to depreciate it as a 7 year MARCS property (half year conversion). Determine the book value of the equipment for its first six ye..
Identify one positive or negative supply shock in the last decade and what is the impact that the shock has had in our economy.
Select one topic, then post and concisely defend your view. You may post to both topics, but are required to only select one for your initial post. Be careful to identify the positive reasons for your normative position. Examples of Outsourcing. Iden..
A firm suggests that they and their competitors (oligopoly) lower their production to limit supply and increase price. Thinking about the kind of game this is...would it be a Bertrand or Cournot; would it be finitely or infinitely repeated and would ..
Consider an economy where 1999 is the base year used for all calculations of price indices and constant-price aggregates. The price of the average good counted in GDP was 5% higher in 1997 than in 1999 and real GDP in 1997 was $64,800. In 1998 the ra..
what was equilibrium price of a box. Is this long run equilibrium price. how many firms are in this industry when it is in long run equilibrium.
Suppose there are two types of shirts available to Carl: red shirts and black shirts Carl is always willing to exchange three black shirts for one red shirt. What type of preferences is mike exhibiting? Are Carl's preferences monotonic? How do you kn..
Department of Health and Human Services, but rather with the Internal Revenue Service. What evidence can you cite to support your position?
A country with an adult population of 120 million adults has 80 million employed, 5 million unemployed, and the rest of the adult population is out of the labor force. What’s the unemployment rate? What share of the population is in the labor force? ..
Which of the following is true about shareholders?
What are the five significant difficulties that policy makers encounter in making decisions? Advantages and disadvantages to communication tools. Be specific.
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