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A. Why money is the main cause inflation?
B. Discuss the relationship between inflation and interest rate. Do an international relationship exist, yes no HOW?
1. What is the least-cost combination of labor and capital the firm should employ in producing 80 units of output? explain. 2. What is the profit-maximizing combination of labor and capital the firm should use? Explain. 3. What is the resulting level..
In "The Consequences of Mr. Keynes," James Buchanan and Richard Wagner argue that the "unwritten fiscal constitution" of an annual government balanced budget helped restrain the growth in government, but the Keynesian argument for a balanced budge..
If the price of manufactured goods rises to $6 bushel (a rise of 50%), the parity price of corn as well rises by 50% - to $4.50 in this hypothetical example.
the economy of the Shire that produces cereals and swords each industry employs Hobbits, but land is specific to the production of cereals, and metal is a specific factor in the sword industry.
Assume you observed an acquisition by diversifying firm and that the aftermath of the deal included plant closings.
A "scarce" good is a good: Answer for which it is impossible to increase production any further given the available resources and technology. for which there is a shortage at the current market price.
As a trader of a commercial bank explain how would I invest $1 million and earn risk free return by engaging in covered interest arbitage.
Explain moral hazard and adverse selection problems. Discuss a few tactics that managers can use to overcome these problems.
President Obama pushed his massive fiscal stimulus package of $787 through the Congress and later passed by the House and Senate, whose centerpiece was spending most of this stimulus funds
If increased government spending and tax cuts were equally effective in stimulating aggregate demand, which fiscal tool would you select? Why?
Explain how do governments borrow funds to finance deficit spending. What is likely to happen to interest rates in the market.
What are commodity money, commodity backed money and fiat money? What are the positives and negatives of each type of money.
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