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As government subsidizes investment, likely with an investment tax credit, the subsidy often applies to only various types of investment. As this question consider the cause of such type of change. Suppose there are two types of investment in the economy: business investment and residential investment. And suppose that the government institutes an investment tax credit only for business investment.
a. Explain how does the policy involve the demand curve for business investment? Also explicate the demand curve for residential investment?
b. Sketch the economy's supply and demand for loan able funds. How does this policy involve the supply and demand for loan able funds? What occurs to the equilibrium interest rate?
c. Compare the old and new equilibrium. How does the policy affect the total quantity of investment? Explain the quantity of business investment? Explain the quantity of residential investment?
Illustrate what is the marginal cost of the 1,000th packet. Is this firm making an economic profit, a normal profit, or an economic loss
summarize how the test affected the court proceedings. Submit your paper as a Word document to your instructor. Remember to correctly cite your sources.
To one side maximizing profits evaluate the factors which managers must consider when making judgment to outsource or integrate forwards/backwards considering which factor would be mainly significant for decision-making.
Suppose that re are 10 million workers in Canada and that each of these workers can produce either 2 cars or 30 bushels of wheat in a year. What is opportunity cost of producing a car in Canada.
Sketch a simple T-account for First National Bank which has $5,000 of deposits, a required reserve ratio of 10 percent, and excess reserves of $300. Make sure you balance sheet balances.
How will this affect output and unemployment in the long run? c) Use an AS-AD graph to show the transition from the short run to the long run.
Times more productive than a minimum wage worker. How many times more productive was a $160-per-hour lawyer compared to a worker earning minimum wage?
compute the average cost function for skateboards. what shape does the graph of this function have. What is the average at this level of output.
From Strategy A if the second firm reacts with strategy D. On the other hand, firm 1 may follow strategy B which could return profits of $8mil. Or $9mil. If firm 2 reacts with strategy C or D respectively.
When the bookstore announces a 20% price increase in new texts and a 10% increase in used texts for next year, Guojun's father offers him $80 extra.
Illustrate what does such a combination mean to this economy. Explain in detail being sure to discuss such a combination relative to resource utilization and efficiency.
An advertising campaign that makes people more aware of the benefits of chiropractic care
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