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Over the past decade, many media articles have discussed the topics of "Coutsourcing" and "Cemerging markets", voicing concerns about U.S. deficits and debt and the impact on the U.S. dollar. Gold prices have increased, commodity prices have soared, and there has been an explosion of exchange traded funds (ETFs), many that allow individual investors to "Cinvest" in foreign urrencies. As recently as mid-September 2010, the Japanese yen, for example, reached a 15-year high in value against the U.S. dollar.
Suppose that GDP is 5,000. Consumption is C=1,000+.3(Y-T). Investment is I=1500-50r, where r is the real interest rate. Taxes are 1,000 and government expenditures are 1,500.
If the demand for money depends positively on real income and depends inversely on the nominal interest rate, illustrate what would happen to the price level today if the central bank announces.
Drugs 'R Us operates a mail order pharmaceutical business on West Coast. The company receives an average of $325,000 in payments a day.
Elucidate possible consequences of failing to properly disclose certain items in financial statements.
Important information about Antitrust policy explain how would you expect antitrust authorities to react.
Assume you are looking at data for an economy that uses only two inputs, physical capital and labor. The table shows output for different combinations of labor.
Elucidate the importance of competition among firms. Explain whether the competitive environment in this industry benefits society or not.
Explain how much will your industry's total revenues (revenues from both products) change if you increase the price of good X by 1 percent.
Explain why is the "1 free" free to the buyer but not to society. At which point if any should the government regulate such promotions like these.
Elucidate how policy would achieve economic growth, and at the same time engage in poverty reduction.
Should the controller's argument be accepted if she does not really know much about copier technology. What would it make a difference if the controller were knowledgeable about the pace of change in copier technology.
What is the argument against attempting to balance the Federal Government budget rapidly at the present time via either deep cuts in Federal Government spending or sharp increases in federal income tax rates?
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