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Consider the AS/AD model. Analyze the effect on the economy in the short run and in the long run after the following events: a). the Congress increases investment tax credits b). the congress decreases import tariffs. Determine in details how can monetary and fiscal policies react to bring the economy back to its long run equilibrium?
A current account balance-of-payments surplus implies an
According to a Wall Street Journal article "MCI, in New Phone War Skirmish, Files Suit over AT&T Ad Claims," MCI was upset with AT&T over allegedly false claims that AT&T's service is cheaper than MCI's. Suppose that the typical consumer is a small b..
Those who advocate that the Fed target monetary aggregates, usually argue that the Fed should not alter its monetary targets in response to temporary changes in macroeconomic conditions, yet those who advocate interest rate targeting never recommend ..
Corporate executives are pressured between conflicting interests of internal and external stakeholders. Provide a specific example of such a conflict. How can the conflict best be resolved?
In competitive markets, the difference between price and marginal cost is a measure of profit per unit output which is what firm seeks to maximize.
The Acme bag company manufactures and sells bags using paper and labor. Currently workers are paid $6 per hour and paper costs $20 per ton. Acme’s current total costs of production are $200,000 per day. Write an equation for, and illustrate on a gra..
Between 1990 and 2006, the real value of the minimum wage declined, as measured using the CPI. Assume that the goal of the minimum wage policy is to maintain a constant standard of living for minimum wage earners over time (i.e. their utility, on ave..
Assuming that the Hawaiian Sea Salt Company is able to charge different prices in the two markets, what are the profit maximizing prices and output levels for sea salt in the two markets?
q.two consumers jorge and admen together own 1000 baseball cards and 5000 pokeacutemon cards. let xr denote the
q.reflect on the solow growth model by means of technology given by y zfk n k12n12 its savings rate is 0.2 moreover
Calculate the arc price elasticity of demand for wheat in the two situations below: Can you explain/account for the difference, if any, in the two elasticities?
Plot (using a spreadsheet or other graphical tool) the following scenarios for per-capita GDP on a ratio scale. Assume that per capita GDP in the year 2000 is $10,000. Use the Rule of 70 to estimate the value of per capita GDP on the graph for the ye..
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