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In response to the Great Recession a number of European governments adopted austerity policies which cut government spending on goods and services. Assuming no change in autonomous consumption or in autonomous investment, explain whether such an austerity policy would be expected to counter a decrease in output associated with a recession.
Milton Freedman, the champion of the Monetarists School of Economics, basically proved that it was monetary theory, changes in the money supply, that was the only way to affect the economy. Pump priming was false.
Suppose that capital's and labor's shares at .3 and .7. What would the effect be of increasing the pool of labor by 10 percent? If the increasing labor is due to population growth, will the resulting increasing have an effect on people’s welfare?
Suppose a firm is hiring 20 workers at a wage rate of $60. The average product of labor is 30, the last worker added 12 units of output, and total fixed cost is $3,600. What is marginal cost?
Elucidate how the investor's curves would appear if she adopts the 50:50 strategies but would not accept any additional return.
How might managers interpret the potential for their product in a market that is, in absolute economic terms, large but, on a per capita basis, characterized by a majority of poor consumers? In the event that the BRICs fail to meet projected performa..
What is the mechanism in the economic system that guarantees the saving of the economy will always equal the investment of the economy? You may assume a closed economy in answering the question
What is the MRS Is this consumer at an optimum. If not at an optimum should the consumer buy more of the X good or more of the Y good.
If they currently at point B, what is the opportunity cost of 100 additional cups? if they currently at point D, what is the opportunity cost of 100 additional cups?
From a geographical standpoint, why is SPACE so integral to the survival of Capitalism as an economic system?
Why do you think macroeconomists focus on just a few key statistics when trying to understand the health also trajectory of an economy.
Marcella operates a small, but very successful art gallery. All but one of the following can be classified as a variable cost arising from the physical inputs Marcella required to operate her business.
An engineer deposits $1,350 each month in an account with an interest rate of 6.18% per year compounded semi annually. How much money can he expect after 12 years?
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