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The Future 2055 The U.S. economy is at full employment. President North West is spending billions of dollars on military equipment in the U.S. He is also attempting to carry out his promise to put a man on Mars by the end of the decade. He is considering increasing government spending by increasing the space programs budget to reach this goal. You are one of his advisors.
a. Using the AD/AS model graph the economy at full employment. Assume sticky wages.
b. Redrawing the graphs show the economic implications of increasing govern- ment spending on the space program.
c. With words describe what would happen in the short run to prices, output, the interest rate, and employment.
d. Recommend a policy that corrects any problems that spending on Mars mis- sions may be causing in the U.S. economy and show using graphs how this policy helps?
You've been hired by an unprofitable firm to determine whether it should shut down its unprofitable operation. Help the management of the firm as to whether or not it should continue to operate at a loss?
Some news reports have suggested that the proposed tax would increase cigarettes prices by $1.00 per pack and be paid by smokers (cigarette buyers). Using (separate) competitive supply and demand diagrams of the cigarettes market carefully show an..
(a) Plot crowding out for the following situations on a graph, and explain why you get the results: (i) Perfectly inelastic ID curve (vertical) & perfectly elastic SS curve (horizontal). (ii) Perfectly inelastic SS curve (vertical) & perfectly elasti..
Analyse the determination of the appropriate amount of undeveloped land along this river as an externality and public goods problem
A monopolist has demand and cost curves given by: Find out the quantity that maximizes profit? What is the revenue and profit at that point?
What can the company do to improve its overall compensation, benefits and professional development practices to enhance the staff's overall effectiveness in meeting the mission and needs of the company?
Three machines are employed in isolated area. They each produce 2,000 units of output per month, the first requiring $20,000 in raw materials, the second $25,000, and third $28,000.
Calculate the number of physicians, per thousand population in Canada, from 2002 to 2005. What conclusions can be drawn about the physician coverage of Canada's opulation?
John have many ice cream stores located across the nation. John does not like to work evenings and employee Marcy to work the store in the evening for $7.50 each hour.
improve life style decsisions by reducing smoking, alcohol consumption, and drug use, imporve overall educational attainment so people can better follow the advice from the medical community.
What is her AFC per poster if she prints 1,000 posters - Karen runs a print shop that makes posters for large companies.
Conduct a meta-analysis of the author's economic perspective of the issue, provide a brief overview / synopsis of the issue and discuss the model or economic theory that relates to the issue presented in the news article.
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