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How will the following actions affect the money supply?
A) A shift of funds from interest-earning checking deposits to money market mutual funds
B) A reduction in the holdings of currency by the general public because debit cards have become more popular and widely accepted
C) The shift of funds from money market mutual funds into stock and bond mutual funds because the fees to invest in the latter have declined.
Volkswagen company is Germany own company with a massive factory in Mexico. In 2013, the Volkswagen Mexican factory produced $228 worth of cars and sold $6 to the U.S., $51 to Mexico, and $10 to Germany. How much was added to Germany’s GDP?
Assume you are compiling your research report. How would you present the statistical information within this case to the IndustryWeek decision maker, the manager who must decide whether or not to continue to publish reader service cards?
Phelps-Dodge plans to expand capacity by purchasing equipment that will provide additional smelting capacity. The cost of the initial investment is expected to be $16 million. The company expects revenue to increase by $3.8 million per year after the..
A freeze in Brazil's coffee-growing region will lower the price of coffee. "Protecting" American textile manufacturers from Chinese clothing imports will lower clothing prices in the United States. The rapid increase in college tuitions will lower th..
Suppose nominal GDP in 2002 was $100 billion and in 2003 it was $260 billion. The general price index in 2002 was 100 and in 2003 it was 180. Between 2002 and 2003 the real GDP rose by:
In the diagram below, assume that there are two classes of citizens, the "hawks and the "doves," with different preferences for national defense spending. Draw the social marginal benefit curve for society as a whole. Determine the theoretical optimu..
How does monetary and fiscal policy affect aggregate demand?
Some of the benefits of having a Roth IRA is, that you can withdrawal money for college from your Roth IRA if you have to. While you can withdrawal your investment to fund college education expenses, there are a few limitations that you must consider..
Consider a new per-worker employment tax on workers (where previously there was no tax). Outline the consequences of this tax on the local labor market. Use appropriate, clear, and well-labeled diagrams. In your answer show (1) the burden of the tax ..
Identify trade policies from 1980 to 1989 and discuss the following points: What are the main goods and services the United States traded internationally? What trade barriers were in place during that decade? What are two pros and two cons of the tra..
Wayne Moldings. Inc. has acquired a new die-casting mold at a cost of $2 million. Projected benefits from the mold for the next five years are: $350K, $450K. $500K. S350K. and S300K respectively. It is expected that at the end of the fifth year, the ..
What warnings would you give forecasters in using statistical demand equations for estimating consumer demand? How can the problems associated with using static equations in a dynamic world best be dealt with? Elaborate.
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