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State whether each of the following statements are True or False. If the statement is false, please state why it is false.
a) An increase in Real GDP means that the Production Possibility Curve must move outward.
b) There is no cost to the macro economy of current consumption.
c) Increased Capacity Utilization means that the PPF is moving outward.
d) Gross Investment being greater than the amount of capital depreciated will help lead to Economic Growth, ceteris paribus.
e) Spending money on increases in human capital shifts the PPF outward, ceteris paribus.
Using a required reserve ratio of 10% and assuming that banks keep no excess reserves, imagine that $300 is deposited into a checking account. By how much more does the money supply increase if the Fed lowers the required reserve ratio to 7%?
Then suppose Income increases to 1261 and Pinputs increases to 144. Elucidate how large is the change in the equilibrium price.
Dave’s Dogs is a firm that originally sold hotdogs and soft drinks from a cart located in front of City Hall. Then Dave purchased another hotdog cart and hired someone to sell hotdogs and soft drinks near the high school. Both locations have been suc..
Assume that the U.S. government initiates a stimulus package to help the sluggish U.S. economy. Further assume that, among other things, this package includes $200 billion in government spending as well as 5% tax cuts for consumers. Explain the logic..
Define Monetary Policy and its purpose. What factors led to the mortgage default crisis and ultimately the Housing Crisis? How did mortgage defaults affect banks involved in mortgage lending and mortgage investing?
Monetarists says “Only money matters.” Keynesians answer, “Money matters, but other things like fiscal policy, matter too. “Explain and evaluate each position. Could you disagree with monetarists and still believe that monetary policy should be used ..
There are always risks associated with the experimentation of a new manufacturing process or with the entry into a new global market, the risks of failure. How should one decide to proceed or not to proceed with a risky venture? What is the proper le..
Prepare critical analyses as a group project and present a PowerPoint presentation. This analysis will consist of researching current articles from any periodical or textbook.
The production function at Ginko's Copy Shop is q = 1000 x min(L, 3K), where q is the number of copies per hour, L is the number of workers, and K is the number of copy machines. As an example, if L = 4 and K = 1, then the minimum of L and 3K, min(L,..
The size of the market will help determine which of the following factors:
a disgruntled college graduate sues her school on grounds that her tuition payments did not land her the good job she was expecting when she started there. Courts invariably throw out cases like hers.
It comes to global expansion and setting up affiliates aboard, how is a service company's focus different from that of a manufacturing company
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