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Suppose that the MPC is 0.8 and that Y is currently 1000. However, the government wants Y to be 1100 to fulfill an expectation of full employment. How much would G have to increase by?
Account for the effect of the two proposed fiscal policy actions in the short run and long run. This includes a description of the consequences of relevant macroeconomic variables.
1. Do you think the Internet has changed the demand for imported goods in the U.S. economy? Explain. 2. Do you think that free trade has promoted a global distribution of wealth that hurt the U.S. job market? Explain.
To increase tax revenue, the U.S. government in 1932 imposed a 2-cent tax on checks written on bank account deposits. (In today's dollars, this tax would amount to about 34 cents per check.) a. How do you think the check tax affected the currency-..
How have the frequent shifts from civilian to military rule and back again exacerbated Nigeria's social and economic problems? What direction do you feel Nigeria should take in the future?
Let's say you live in Montana and you like to ride mechanical bulls in bars on Friday nights. You estimate that over the next year there's a 4% probability you will incur medical bills of $20,000
Describe the principal- agent problem as it relates to owners and managers and provide a real life example.
There are two types of consumers of potatoes: 10 are rich and 50 are poor.Interpret the differences between the demand of the rich and the demand of the poor.
Write each production function given below in terms of output per person y a Y/L and capital per person k K /L. Plot these per person versions in a graph with y on the vertical axis and k on the horizontal axis.
Identify components of the economic stimulus package beingdebated in Congress and how they might increase GDP and help theeconomy. For example, one aspect of this package involves jobcreation, which would increase productivity
Keynes describws that the level of output and employment in the economy was determined by aggregate demand or effective demand.
Production possibilities have been used by several economist to develop their theories. What is its definition?
Explain how governments use monetary and fiscal policy to manage the economy and use technology and information resources to research issues in principles of economics.
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