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The following equations describe an economy.
Y=C+I+G
C=50+0.75*(Y-T)
I=150-10r
(M/P)d=Y-50r
G=250
T=200
M=3,000
P=4
Identify each of the variables, and briefly explain their meaning.
From the above list, use the relevant set of equations to derive the IS curve. Graph the IS curve on an appropriately labeled graph.
From the above list, sue the relevant set of equations to derive the LM curve. Graph the LM curve on the same graph you used in part b).
What are the equilibrium level of income and the equilibrium interest rate?
When you buy 100 shares of IBM it is an investment according to economists. If consumers have few durable goods, this will lower the C line, all other things equal. A corporation is a legal person separate from the owners. Investment is more stable t..
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Can you please help with a five page research paper that explains the relationship between the price elasticity of demand and total revenue? Please include a separate page with references. Thank you for your help
q.suppose you want a lump sum payment of 100000 three years from now. rounded to full dollars how many current dollars
q1. a growth at a rate of 2.5 may seem slow but this means a country gdp will double within 28 years. 100 10.02528 200
Demonstrate, using supply and demand analysis, the effect on the equilibrium price and quantity of new hybrid automobiles when the following occurs.
Calculate the return on equity (ROE) for a sample of 20 banks for the year before the Sarbanes-Oxley Act was enacted. For the same sample of banks, calculate the ROE for the year following the enactment of the Sarbanes-Oxley Act.
Find the gradient of Q b. Find the Hessian of Q c. Denote the initial K = 10,000
Consider a person with preferences over two goods, coffee and cigarettes. Both of these goods are addictive, in other words the more coffee you drink, the more willing you are to give up other goods in exchange for coffee and the more cigarettes you ..
Suppose utility had been leaner in wealth would this person willing to pay anything more than the actuarially fair amount for insurance.
In 1992, thirst Bush administration was worried about a lingering recession. The administration announced that households would receive a reduction in their taxes for the year 1992. However, this was not accompanied by a reduction in tax rates, and t..
Speculate about the behavior that could result from these transactions and propose at least two (2) strategies for dealing with them.
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