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“If a central bank decides to accommodate an adverse supply shock, it will intensify the inflationary effects.” Comment on this statement with the help of an AD-AS diagram.
In the long run, a recessionary gap means that:
If the money supply increases too rapidly then, Monetary policy probably affects all of the following except, Which of the following is not a channel of transmission of monetary policy?
Copiers cost about twice as much as workers. Would you recommend they buy another copier or hire another worker?
Predatory pricing is easy to prove in a court of law. An incumbent firm may experience a learning curve that allows it to produce at a lower cost than a potential entrant. A firm receives no individual benefit from strategies that raise the marginal ..
Every time we have to make a choice we are faced with an opportunity cost. Using an example in your professional life, identify a situation where you were presented with a choice, the opportunity cost of the choice you made, and the process you used ..
Determine the steady state level of capital, income and consumption (all per unit of labor) as a function of the savings rate and the depreciation rate. Suppose that the depreciation rates is 10% per year. Compute consumption per unit of labor for a ..
Stocks and bonds-and checking accounts are all stores of value, but only checking accounts commonly function as mediums of exchange. and checking accounts are all stores of value and commonly function as mediums of exchange.
If the returns of the risky portfolio are normally distributed, what is the probability of returns being less than 29%.
what is the test? what are the educational achievement tests in many ways for better and more comprehensive measure that we can not obtain? what is the results of an achievement test? what is the sampling principle of testing? how are you going to de..
Suppose the total value of Jame’s investment is normally distributed with the mean equal to $5, 000 and standard deviation of $1, 000. What is his Value-at-Risk (VaR) at 1% level?
Discuss the concepts of total production, average production and marginal production. Relate production to cost and discuss how the ideas of total cost, average cost and marginal cost are used in decision making.
What is the numerical value of the saving rate maximizes steady state output per effective worker? Clearly explain why households would have a problem with this saving rate. In the steady state, what are the growth rates of Y /(EL), Y /L, and Y ? Pol..
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