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As a result of the fall of the “iron curtain” in 1989, many Americans felt less threatened by Russia and called for massive reductions in the defense budget as a “peace dividend”.
Suppose that the defense budget had been cut by one-third, or about $100 billion. If no other policy changes are enacted, use an adequate model to analyze what would happen to output and the interest rate. Illustrate the changes that would occur by graphing the adequate curves and indicating their shifts and their economic meaning.
Evaluate the potential benefits and risks, a SWOT analysis might be appropriate on scrum methodology
Name three industries where the perfectly competitive model would be the most beneficial in analyzing behavior. Be sure to support your choices.
A mutual stock fund has grown at a rate of 16% compounded annually since its beginning. if it is anticipated that it will continue to grow at this rate, how much must be invested every year so that $60,000 will be accumulated at the end of 12 years?
Four years after the $13,500 deposit, half of the accumulated funds is transferred to a fund that pays 8% interest compounded quarterly. How much money will be in each account six years after the transfer?
You have received an order for 300 specially made items. On similar type items the improvement rate was 20%. The number of labor hours to produce the first unit was 14 hours, T1 (labor) = 14 hrs. Assume no learning for direct materials i.e T1 (materi..
What are the problems with the bail process? Is it always fair? Can it discriminate against some persons? Why or why not?
Explain how does the deposit primarily change the T-account of the local bank. How does it change the money supply.
Teresa likes to consume chocolate and yogurt. Her utility function is given by U(x, y) = x0.5y0.5where x and y are the quantities of chocolate and yogurt she consumes. Suppose that her income is $10 and the initial prices for both of the goods is $1...
You are considering purchasing stock. The stock is expected to pay a dividend of $87 per share. The consensus of investors is that these dividends will increase at a rate of 3 percent per year for indefinate future, and the interest rate is 7 percent..
Consider the following goods and services. Which are the most likely to be produced in a perfectly competitive industry? Which are not? Explain why you made the choices you did, relating your answer to the assumptions of the model of perfect competit..
Assume that the income elasticity of demand for tickets is +2.5. Also assume that the average household in the community makes $20,000 per year and that about 6000 tickets are sold per year. Now let the average household income go up to about $22,000..
Suppose the government were to decide to increase tax rates and cut spending. If the Federal Reserve was feeling rebellious and disagreed with those policy choices, what actions could they take to offset the expected effects? Briefly explain.
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