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Question: 1. Discuss the United States Money Supply How do countries (particularly the US) decide on the total amount of money in circulation? (The total value of the currency.)
2. Discuss scenarios where the total value of the currency is lower and higher than perceived worth. The federal government recently announced intent to buy large numbers of Treasury Bonds.
3. Explain how the federal government expects this to improve the economy. Compare this to other companies buying their own stocks. Make a prediction as to the success of bond buying maneuver.
Does this welfare program change the selection of the immigrant flow? In particular, are immigrants more likely to be negatively selected than in the absence.
If each SUV sold results in a $2,000 loss but each sedan produces a $5,000 profit, how many of each type should be made daily to maximize net profits?
There are three consumers A, B and C. Consumer A is willing to pay 8-3F dollars for a unit of flowers for the public square, B is willing to pay 2-3F dollars.
Some people think that businesses create monopolies by destroying their competition, and there is certainly some truth to that.
Efficiency wages and bargaining. (Grain and Martin, 2000.). What value of L does the firm choose, given w? What is the resulting level of profits?
Demand for business products is said to have different characteristics than demand for consumer products. For the mobile phone industry.
The three types of economic systems are Market Economy, Mixed Economy and Planned or Controlled Economy. How does each handle the issue of Scarcity? How does each system answer What, How, and For Whom questions?
Read the case study - Bad News Memo or email: Reassuring Staff After Layoffs (From Dr. Guffy's case studies)
Use the following diagrams and a. show what would happen in both diagrams if government purchases increase in the short run. b. show what would happen in both diagrams if the growth rate of the money supply was reduced in the short run.
Prepare a brief, 2-3 page, paper outlining the major monetary poicy actions used by the Federal Reserve over the past few years.In general, have these actions helped the US construction industry? Explain.
Reflect on why some products become substitutes and why some are complements (e.g. hot dogs and hot dog buns).
Consider the case of two borrowers who are equally productive. Borrower 1 is considered to be "rich" as she has cash equivalent to A = $50 in her pocket.
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