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Spending by the consumer sector is the driving force in the US economic system. Although the business and government sectors make a considerable contribution to the success of the economy, it is the spending by the consumer or household sector of the economy that determines prosperity or recession in the economy. Do you agree or disagree with this argument? Why or why not? Support you answer with examples and references of how the business and government sectors of the economy are crucial in supporting spending by the household sector. How has the spending behavior of the government sector changed over the past decade, and what effect have these changes had on the economy? Decision making in a business environment requires an understanding of cost and revenue data. This includes an understanding of marginal and incremental analysis, as well as basic cost and revenue relationships. Explain how a basic understanding of these concepts, as well as of managerial economics, can enhance the managerial decision-making process. Support your answer with examples and references.
Suppose a large number of new immigrants enter the labor market. Assume this increase in the supply of labor provides a drag on wage increases: wages rise by less than the prevailing rate of inflation over the next year. Use the short-run model to ex..
Suppose that a firm is using quantity k of capital input and quantity l of labor input to produce output level q0. Further suppose that, at this input combination, the rate of technical substitution (RTS) is 2. Assume also that w = $1 and v =$1, wher..
If the price of gasoline doubled, how would consumption of (a) cars, (b) public transportation, and (c) in-theatre movies be affected? How quickly would these adjustments be made? If you owned a movie theatre would you want the demand for movies to b..
Recommend which company you consider as the better investment for your client and how you will present your recommendation. Support your recommendation with data from your analysis.
How does global economic competition impact the domestic market and decisions related to the strategy a firm uses to compete? Why do some economists oppose trade restrictions? Explain your answer.
Calculate the after-tax nominal interest rate, then subtract off inflation to get the after-tax real interest rate for both cases.
Calculate the coefficient of price elasticity (midpoints approach) for Goldsboro's supply. Is its supply elastic, or is it inelastic.
Suppose the economy is initially in equilibrium at an output level of 100 and price level of 100. The fed then manages to shift aggregate demand rightward by 20.
At quantities above the minimum-cost output
(a) Sketch the following curves and provide an explanation for their shape
The largest consumer of goods is the government. Many firms pass over this market due to red tape and other issues. Describe the situation. What might help? Please respond to this Discussion Topic
What would happen to GDP if the government hired unemployed workers, who had been amount $TR ain unemployment benefits, as government employees and now paid them $TR to do nothing? Explain.
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