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Sometimes, when a country is going through economic difficulties, the government will restrict how much money people can withdraw from their bank accounts. Why would the government do this? How would it help to restrict withdrawals if there is an economic panic? Is such a policy fair? Explain your answers.
If the Fed increases the money supply, what do you expect to happen to the exchange rate (foreign currency per dollar)? Will it increase or decrease? Explain your answer.
In 2008, the Fed began massively increasing the money supply. Did the exchange rate meet your prediction from (5)? If so, how can you tell? If not, offer a possible reason why it did not.
If we open up the market to free trade so that the world price dominates, what will be the quantity imported? Suppose the government placed a tariff of $10 per unit imported on this good. How much revenue would they raise?
Be able to graph and explain side by side market/firm graphs detailing the evolution of the elimination of both profit and loss with changes in demand.
Elucidate using a graph why the change in real GDP is likely to be smaller than the shift in the aggregate demand curve.
Describe Illustrate what will happen in this market as it moves to a new equilibrium. If a hard freeze eliminates Brazil's premium coffee crop, illustrate what will happen to cost of premium coffee.
You have the responsibility for establishing the pricing for a product to be released in three stages. A different and cheaper version of the product will be sold at the 2nd and 3rd stages. discuss the optimal pricing for the company in a case where ..
At the average level: what is the relationship between Average Fixed Costs, Average Variable Costs, and Average Total Costs?
Identify whether the Fed should continue its current pace of security purchases, and indicate what “forward guidance” the Fed should issue now and why? Be specific in answering the question. Forward guidance is the specific language the Fed uses to i..
Your article shows money performing (or failing to perform) at least one of the following functions: (a) medium of exchange, (b) store of value, or (c) standard of value. Which one of those functions does it show? The event may have occurred in the p..
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
A firm has developed a new product for which it has a registered trademark.
What would it take for a point beyond the PPF to ultimately become attainable? Name an important assumption associated with the PPF. Why are models such as the PPF which require broad assumptions used in economics?
The following equations represent supply and demand functions for electricity in a certain city: Compute the net surplus (= PS+CS - total environmental external costs) at private market equilibrium and social efficient market equilibrium.
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