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Fiscal Policy explained in this answer
Determine whether each of the following is an example of the automatic fiscal stabilizer.
A)As the economy starts to recover from a recession & more people go back to work, government-funded unemployment compensation payments begin to decline.
B) To stem an overheated economy the president, using special powers granted by congress, authorizes emergency impoundments of funds that Congress had previously authorized for spending on government programs.
Illustrate the economy's adjustment to its long run equilibrium only, as the formerly dislocated (and now retrained) labour force is finding employment in new industries.
What is the cost of producing additional car when 50 cars are being produced? What is the cost of producing additional care when 150 cars are being produced?
Explain and discuss the mechanisms by which this has occurred, and contrast our experience with: a) the recent performance of many NICs (newly-industrializing-countries) in the last few decades
The law of comparative advantage recommends that countries specialize in those products in which they have a comparative advantage, not an absolute advantage.
Explain how each of the following will affect the relative values of the dollar and the euro:
Explain why competitive markets normally lead profit maximizing firms to make choices about resource use that lead to an "efficient" allocation of resources to the market?
What is Nash Equilibrium output for his supposing that the two firms choose their production quantities simultaneously?
Draw a graph showing hte above situation. Include in that graph, the monopolist's cost curves, demand and marginal revenue curves and the price and quantities that are indicated by the situation described above.
Read the following text and answer the questions below: Discuss the limitations of this model as an explanation of the effects of government expenditure on GDP.
What is the profit maximizing output level for the typical firm? (Hint: Calculate MC for each change in output, then find the equilibrium price, and calculate MR for each change in output)
Compute the employment rate (i.e., number employed: population) in each year? How can employment rate may go up or down in the unemployment rate stays the same? How can employment rate go up if unemployment rate also goes up?
"If every employer hired its best qualified applicants for a job at every opportunity, the phenomenon of black poverty (as distinct from poverty) could be wiped out in ten years." Do you agree/disagree? Comment.
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