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According to the analysis of the British economist John Maynard Keynes,...
a) markets coordinate supply and demand so that a policy of laissez-faire would prevent recessions.
b) economic fluctuations were the cumulative result of mistakes made by businesses and householdsn in an uncertain world.
c) government demand could be used to smooth fluctuations in aggregate output and income.
d) supply creates its own demand through the circular flow of economic activity.
Illustrate what is a fixed exchange rate system. Discuss whether it is basically good or bad, and explain.
Find the values of K and L which minmise Total input costs if production quota is 1625.Calculate the minimum total production cost
it is estimated that a particular economy has a multiplier of 2. the marginal propensity to import of the economy is
You can obtain a loan for $100,000 at a rate of 10 percent for two years. You have a choice of paying the principal at the end of the second year or amortizing the loan that is, paying interest (10 percent) and principal in equal payments each year. ..
Assume the market demand curve in an industry is characterized by P=1-Q, where P is the market price and Q is the total quantity supplied to the market. Assume there are three firms in this industry.
A rural utility company provides standby power to pumping stations using diesel-powered generators. an alternative has arisen whereby the utility could use a combination of wind and solar power generators, but it will be a few years before the ene..
according to the federal reserves federal open market committee 2011 thefederal reserve controls the three tools of
The monopolist’s demand function is P = $405 - $5Q, its average cost function is AVC = $20+$0.5Q, and its fixed costs are $6,000 per hour. Calculate the monopolist’s profit maximization output, price and its hourly profit. Calculate the elasticity of..
Suppose a closed economy which has suffered from a sub prime crisis. During such a crisis households and bankers often become more cautious.
Show the location of the Chinese economy on a diagram. What would be your advice on how the authorities should move the renminbi's exchange rate?
Since fall of 2004, increasing oil prices over $70 per barrel in spring of 2006 have frequently ended stock market rallies and led to refuse in all major stock indexes.
Explain why user cost, or scarcity rent, arises in the intertemporal allocation of a depletable resource such as minerals, and some types of energy and aquifer water resources.
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