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Suppose that you are a member of the Board of Governors of the Federal Reserve System. The economy is experiencing a sharp and prolonged inflationary trend. What changes in
A. the reserve ratio
B. the discount rate
C. open market operations would you recommend?
Explain in each case how the change you advocate would affect commercial bank reserves, the money supply, interest rates, and aggregate demand.
If one kilogram of flour costs $2 in Canada, and 100 shillings in Kenya, what would Purchasing Power Parity predict the Kenyan shillingto be worth in Canadian dollars.
commercial recording inc. is a manufacturer and distributor of reel to reel recording decks for commercial recording
An auditor wishes to determine a rule to use in evaluating the accounts payable of a certain firm. There are 5000 such accounts. The auditor considers the accounts as satisfactory if there are mistakes in only 1% of them.
suppose the inflation rate is 5. suppose the marginal product of capital in a firm is 8 but that in the course of
The text offers two reasons why private investment might be better for poor countries than assistance tendered by foreign governments or international agencies. One is that technical assistance often comes along with private investment as part of the..
Bertrand Competition
Due to a slow economy, business has been slow and you are losing money every month. The owners have asked you whether to continue operations or to shut down at least until the economy improves.
the following questions address some of the price and output decisions faced by firms other than those found in perfect
Reliance on finite supplies of foreign oil and on coal fired electric power plants causes ever increasing prices that we must pay for the oil and the deleterious effects on our environment from both as sources of greenhouse gasses
Average cost includes both fixed and variable costs
if the reserve requirement were cut in half the banking systems ability to extend loans would bea. increased by 50
How do you find the consumer's price consumption curve for the prices of X? This is in reference to the first question of the Penn State Econ 302 Homework #2
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