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Describe a situation that would call for applying one or more of any (dynamic economic model/legit model/random walk model/spurious regression/co integrated time series/tests of stationary). Explain your rationale for applying the model you chose.
Substitution and income effects of a change in price of a good may be used to explain the:
what is the opportunity cost of producing Toyotas in each country. Who has the comparative advantage in producing Chevrolets.
he perfectly competitive form maximizes profits by producing 10 units of output. At what price does it sell these units.
A leading organization, inspired by the Grameen bank, is attempting to provide loans to small farmers. it is leading to farmers in groups of two. Explain three reasons why a strategy of group leading may be better than a strategy of lending to indivi..
Suppose that there is no growth in real GDP and inflation is equal to -2% per year. (Negative inflation is the same as deflation.) Measured in ducats, illustrate what will GDP be equal to next year.
Assume that the treasury is currently running large surpluses (tax collections exceed new government spending). On a S/D diagram show the effect on Treasury Bond markets of using these surpluses to buy back outstanding treasury securities and reduce ..
Where Q is the total quantity of all firms in the market and q is the quantity of a single firm. Suppose there are n firms in the economy. Solve for the total quantity of all the firms and the price in equilibrium as a function of n under Cournot.
Determine the optimal number of plants that the firm should have to take full advantage of the market demand. Calculate the firm's profit.
Suppose an economy has overbuilt and suffers from excess capacity. A recession ensues due to firms cutting back on expenditures. Is deficient demand more easily remedied by monetary or fiscal policy? Explain
q.suppose that the supply curve of healthcare ser-vices is perfectly inelastic i.e. vertical. analyze the impact of an
Many of the miles are on dirt roads. From an asset ownership point of view, what type of car should he buy.
Moving beyond this particular episode, briefly discuss how do asymmetric information, adverse selection, and moral hazard affect the future of health care policy in the United States.
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