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Draw the domestic market for airplanes. Show the effect of the economy opening up to trade, with the world price below the equilibrium price in autarky. Draw and carefully explain how consumer surplus, producer surplus and total surplus are affected by this change.
Assume that the price of smart phones increased from $420 to $444 per unit. The manufacturer decides to supply 15,000 units instead of 12,000. Calculate the price elasticity of supply.
An economy begins in long-run equilibrium, and then a change in government regulations allows banks to start paying interest on checking accounts. How does this change affect the demand for money? What happens to the velocity of money?
Ted’s utility function characterizing preferences over apples and bananas is U a,b= 4a + 6b^2. . How many apples does Ted demand if Pa= .5 and Pb=1 , and he has $10 to spend?
In 1981 Andrew Carnegie asserted that "parents who leave their children enormous wealth generally deaden their children's talents and energies and tempt them to lead less productive lives." Evaluate this statement using the labor-leisure model and e..
Explicate why the government expenditure multiplier is different from the tax multiplier.
A clear thesis statement An annotated bibliography for at least 10 scholarly or professional journal articles A summary that expresses the overall plan of the paper, including subtitles and topic sentences for each subtitle provided.
Use the 2007 numbers in the first column to compute, for each of the four countries, the percentage gap between the steady-state ratio.
The figure below shows cost curves for a perfectly competitive firm. Answer the next 3 questions using this figure: Suppose that market price is $2.60.A firm producing 800 units of output. A profit-maximizing firm will break even when market price is..
Draw the wage-schooling locus for someone for whom returns to schooling decrease through college but increase after college
If profit regulation is used to control a natural monopolist, the monopolist is likely to
how the economy moves to a new equilibrium. Focus on short-run as well as long-run equilibrium.
Suppose an economy is in long-run equilibrium. The central bank raises the money supply by 5 percent. Use your diagram to show what happens to output and the price level as the economy moves from the initial to the new short-run equilibrium. What cau..
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