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In nation 1, the domestic demand for good Y is Dd = 80-10P and the domestic supply forgood Y is Sd = 10P. Suppose that the free trade (world) price of good Y is PY = $1. Draw the domestic demand and supply curves for good Y. Compute and indicate in diagram the level of domestic consumption, domestic production and imports of commodity Y at free trade price.
What happens to each of these values if the central bank changes the reserve requirement ratio to 3%.
Illustrate what is your opinion of the restaurateur's decisions. Would you recommend that she accept the $66,000 offer.
Elucidate how a temporary decrease in the U.S. money supply affects the money and FOREX markets. Label your short-run equilibrium point B and your long-run equilibrium.
Illustrate what monthly profit would she realize with that level of business during the next 3 years.
Can you recognize from the graph the period for which Canada was on affixed x-rate regime with the US dollar and the UK pound? What was this period.
At the same time some internet trades such as grocery home deliveries have continually suffered steep losses regardless of scale.
Determine whether each of the following would cause a shift of the aggregate demand curve, a shift of the aggregate supply curve.
Assume to there are two segments to the market for rental cars. The Demand for rental cars by trade travelers
Solve for equilibrium real output and also solve for the equilibrium interest rate.
What would you expect to be the effect on interest rates if the Fed held the money supply constant.
Explain which fiscal and monetary policies might "activist" Keynesian economists recommend to help a depressed economy regain full employment.
The owners decide to begin spending immediately a rather large sum on advertising designed to decrease elasticity.
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