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Q1. Why I having a nominal anchor important for you to achieve inflation targets ? What is the drawback of using a nominal anchor? What is the growth rate of the money supply of this economy? If you chose to adapt a money supply target, which money supply growth rate will allow you to meet your inflation target?
Q2. The following are the examples of typical economic decisions made by the managers of a firm. Determine and explain which basic economic problem: of what, how and for who apply to the following the economic decision. Should the company makes its own spare parts or buy them from an outside vendor?
Why the short-run demand for gasoline is less elastic than the long-run demand, when the price of gasoline rises, people immediately cut back on unnecessary trips.
Imagine that you were the president of an emerging country that is trying to reduce the number of its imports
Suppose that the supply curve of healthcare services is perfectly inelastic. Analyze the impact of an increase in consumer.
Bud has very limited store space and has decided to limit his product line to one brand of beer, choosing to forego the snack food lines that normally accompany his business.
The United Nation's Department of Economic and Social Affairs, Population Division, tracks the total number of foreign-born people by nation.
Suppose at the current level of labor used, the MRP = $100 and the MFC = $50. Elucidate the maximize profits
Bud Owen operates Bud's Package Store in a small college town. Bud sells six packs for off-premises consumption.
Suppose she is offered a new job that would pay her $15,000 and would bring her earnings high enough so that she no longer qualified for any welfare benefits.
If the company has not paid dividends, discuss why think the company is not paying dividends or whether they should consider adopting a dividend policy.
Their banks are holding back credit so it is harder for businesses to invest and for consumers to spend
Under oligopoly if one firm in an industry significantly increases advertising expenditures in order to capture a greater market share, it is most likely that other firms in that industry.
Enterprises conduct business transactions with other enterprises for a number of economic, business and strategic motivations.
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