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Describe an important insight of Keynesian economics (aggregate supply and demand equilibrium, aggregate expenditures and income expenditures equilibrium) and give an example.
Illustrtae what is the profit-maximizing level of price and quantity for this monopolist.
Even in firms in a monopolistically competitive market collude successfully and fix price, economic profit will still be competed away if there is unrestricted entry. Explain. Will price be higher or lower under such an agreement in long-run equil..
The country now tightens up on (reduces) its money supply dramatically. The country's product price level is not immediately affected, but the price level gradually becomes lower (relative to what it otherwise would have been) during the next seve..
You purchased a commercial warehouse in March 2010. The cost of property was $200,000 which includes $25,000 for the value of the land. Determine the amount of depreciation that is allowed during the first year of ownership.
GDP does not include the value of used goods that are resold. Why would including such transactions make GDP a less informative measure of economic well-being?
Are retail gasoline prices essentially equilibrium prices? Why or why not? In most markets, are prices typically at the equilibrium? Why or why not? What might keep prices from moving to the equilibrium?
If the Fed changes the money provide to match the change in money demand, what will happen to the interest rate over time.
Illustrate what would happen to general and specific training in labor markets.
Describe the economic causes also consequences of environmental devastation and its impact on achieving sustainable growth and development.
Now assume that the government imposes a price ceiling of $4 per bushel on tomatoes. What do we call this situation Which curve (supply or demand) sets the actual number of tomatoes traded in the market if the price ceiling is in place
To supply side economists, the key to any economicstabilization is managing aggregate supply. What kinds of policy dothey advocate, and what outcomes do they expect toachieve?
(a) What is mean by that Explain "strategic behavior" and relate that to the "Kinked Demand" model of oligopoly.(b) Explain the importance of mergers in oligopolistic markets. Is there much price competition in an oligopolistic market
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