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Suppose that the International Monetary Fund (IMF) is concerned about currency depreciation in a small open economy.a. What type of fiscal policy should the IMF propose to the government of the small open economy to generate a currency appreciation?b. Illustrate graphically the impact of the IMF proposal on the exchange rate of the small open economy.c. What will happen to the trade balance of the small open economy, assuming that it started from a position of balanced trade?
Dave is employed by a corporation that currently pays him $65,000 a year. He owns a new car that he bought for cash of $32,500. Dave is thinking about returning to school to get a law degree.
Describe the point price elasticity of demand. What is the new point price elasticity if price is raised.
The table listed below demonstrate the quantities of product X that a producer can produce in one growing season on a 1 acre farm using different amounts of labor.
Sailright Inc. makes and sells sailboards. Management believes that the price elasticity of demand
Suppose the present market conditions of Microsoft Corporation.
A machine with a ten year life is to be depreciated by the MACRS method. The machine has a 1st cost of $30,000 with a $5,000 salvage value. It's yearly operating cost is $7,000 per year.
Assume that potential rural-urban migrant would work for two periods ( of some length) in either the rural or the urban area.
A firm has cost function: C(y) = { y^2 + 1 if y > 0, {0 if y = 0, Let p be the price of output. 1) If p = 2, how much will the firm produce? If p = 1, how much will the firm produce? 2) What is the (optimal) profit function of the fir..
Illustrate what is the difference among nominal and real quantities and why make the distinction.
Elucidate factors would you consider before investing in the emerging stock market of a developing country.
Explain why would economists be very concerned if the annual interest payments on the debt sharply increased as a percentage of GDP.
Illustrate ahat are the general equilibrium values of the real interest rate, price level, consumption, and investment.
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