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What is the equilibrium level of GDP and the interest rate? Is there a BOP equilibrium or a BOP deficit/surplus.
If the money supply is increased by 23% what is the new equilibrium GDP and interest rate?
What happens to the BOP? Explain.
a.) Illustrate using a fully labeled supply and demand graph (label all the axes and any lines you put in your graph) what such an artificial price looks like. b.) Explain what the results of such a move are for the graham cracker market. ..
The equation QA= 1/2(12-Q)b) is the so called reation function of duopolist A in a COurnot model becasue given the value of Qb, Qa gives the best or profit-maximizing level of sales of oligopolist A. Show that this is the case with reference. Wha..
If an excise tax is imposed on a commodity in order to raise revenue for the government or to reduce the consumption of the good, then what is the relevance of the price elasticity of demand in determining which of the goals is likely to be most ..
Assume that instead of maximizing profit, the firm wants to maximize total revenue. Using algebra determine the optimal output, price, profit and revenue for the firm.
The law of demand says that the price and quantity demanded are inversely related. Thus, is demand curve positively or negative sloped?
An engineering practitioner can lease a fully equipped computer and color printer system for$800 per month or purchase one for $8500 now and pay a $75 per month maintenance fee. If the nominal interest rate is 15% per year.
Recent increases in rents have caused the citizens of Elmville to vote for a rent ceiling of $1200. Assuming all rental units in Elmville are identical and the supply and demand for rental units are given by Qs = -1000 + 20P
The United States cigarette industry has negotiated with Congress and government agencies to settle liability claims against it. Under the proposed settlement, cigarette firms will make fixed yearly payments to government based on their historic mark..
HoneyBee Farms, a medium size manufacturer of honey, operates in market that fits competitive market definition relatively well.
What is the net present value of this proposed project? If efficiency was the only objective for making the decision and we have fully accounted for all costs and benefits would you recommend the project go ahead or not?
You know from data gathered on the widget market that market demand has recently increased and market supply has recently decreased. As manager of the facility, what decisions should you make regarding production levels and pricing for your widget..
While sitting in your office one evening, you start to think about some of the key microeconomic messages you wish to communicate to the Board.
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