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Which of the following must be true in an economy with a government but with no foreign trade?
A. Household saving will be equal to investment.
B. The sum of consumption and saving will be equal to the sum of income and taxes.
C. The sum of household income and business profits must be equal to the sum of consumption, government spending, and investment.
D. An increase in the government deficit will force an increase in investment.
E. If the government has a balanced budget, household consumption will equal the difference between income and saving.
In 2000, in Country A, the average family net worth was $410,000, and there was about 6.1 x 10^7 families. Calculate the total family net worth Country A in 2000. Country A's total family net worth is what in dollars?
Illustrate what happens to the value of the owners' equity in this bank. Elucidate how large a decline in the value of bank assets would it take to reduce this bank's capital to zero.
The required reserves of a bank equals it's __________ the required reserve ratio.
Suppose that a manufacturer is a monopolist in selling some product to a number of competitive retailers at wholesale price w. The manufacturer has marginal cost of $10 per unit. Each retailer pays w to the manufacturer and charges p for each unit it..
Aristotle argues that whatever is the good in itself, it must be something sought which meets three criteria, namely that it must be. Among the rights discussed in class (& the handout), private property rights where justified on the grounds that the..
Create a table showing total production for the two countries with no trade. Create a table that assumes total specialization. What is the effect on total production? What are the two extreme (relative) prices that are possible for trade in this situ..
what output level should you operate to maximize profit? What price should you charge? How much will the industry as a whole produce?
The U.S. Constitution bans states from restricting imports of goods and services from other states. Suppose this restriction did not exist and that states were allowed to limit imports of goods and services produced in other states. How do you think ..
The inflation-free rate (real rate) is 2.3% per year and the inflation rate is 2.03% per year. The effective interest rate (market rate) is therefore
A US automobile factory uses $100,000 worth of parts purchased from foreign countries along with U.S. inputs to produce 30 cars worth $20,000 each. Twenty of these cars are sold and 10 are left in inventory. How much did these actions add to GDP?
A brewery produces regular beer and a lower carb light beer. steady customers of the brewery buy 10 units of regular beer and 15 units of light beer monthly. while setting up the brewery the management decided to produce extra beer, beyond that neede..
Which of the following was an example of a New Deal program?
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