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Determine whether each of the following, other things held constant, would lead to an increase, a decrease, or no change in long-run aggregate supply:
a. An improvement in technologyb. A permanent decrease in the size of the capital stockc. An increase in the actual price leveld. An increase in the expected price levele. A permanent increase in the size of the labor force
Explain the difference between the government purchases multiplier and the net tax multiplier. If the MPC falls, what happens to the tax multiplier?
Explain how banks and individuals can use "covered interest arbitrage" to protect themselves when they make international financial investments.
Compute total revenue, marginal revenue, total cost and profit at each quantity. What quantity would a profit-maximizing publisher choose? What price would it charge?
Illustrate what trends do you see in the data sets. Support your assertions of trends with statistical evidence.
Compute the value of the price index for GDP for 2005 using 2004 as the base year. By what percent did prices increase.
Physical capital, Natural resources, Human Capital and Technical Knowledge, should it be Government policy to subsidize the production or acquisition of all or these?
Elucidate who decides whether these particular products should continue to be produced and offered for sale. How do these decisions differ between capitalist and socialist systems.
Describe by what percentage would a 10% rise in the price reduce the quantity demanded, assuming price elasticity remains constant along the demand curve.
Suppose that this price cut was completely responsible for its raise in revenues from 460 million yen in 1966 to 640 million yen in 1967. Compute the indicated arc elasticity of demand.
Discuss what has occurred to change the demand for, or the supply of, the good or service, and market prices of those products or services.
Elucidate a monopoly which formed naturally or through vertical or horizontal mergers.
Compute the own price elasticity of demand whenever the price goes from $5 to $4.
Illustrate what effect if any will this have on competition with Canadian and US firms. Elucidate extent is your answer industry dependent.
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