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If the Federal Reserve System wanted to tighten the money supply, the most powerful combination of actions would be to
a. raise reserve requirements, lower the discount rate, and buy government securities
b. raise reserve requirements, lower the discount rate, and sell securities
c. lower reserve requirements, raise the discount rate, and buy government securities
d. raise reserve requirement, raise the discount rate, and sell government securities
In both countries, g=0.02 and δ=0.04. Find the steady state value of y for each country.
What is the income gap for the bank? What will happen to profits next year if interest rates fall by 3 percentage points?
The similar same set of price quantity combinations are utilized to compute the price elasticity of demand
Draw a diagram to show how a decline in the growth rate of the work force would affect the steady-state level of per-worker capital in the Solow growth model. Explain your diagram briefly.
Why is a change in the age structure of the population, increasing the proportions of young or old workers in the labour force, likely to change the natural rate of unemployment?
Interest-Rate Parity. If the interest rates on the 30-day instruments in the US and Switzerland are 12 and 10 percent (annualized), respectively, what is the correct price of the 30-day forward SF?
Suppose that Nike and Adidas are the only sellers of athletic footwear in the United States. They are deciding how much to charge for similar shoes. The two choices are "Low" and "High". The payoff (profit as million) 2X2 matrix.
A small business which produces plastic vacuum-suction covers for round household dishes has monopoly that is protected through a utility patent. Market demand curve for this product is estimated to be:
Illustrate elastic or inelastic. Make confirm you continue to use the correct terms when considering changes in price
For each of the given below statements, state whether the unemployment is structural or cyclical.
Calculate the slope of the AD curve - Explain why the AD curve has the slope you calculated as a result of the "wealth effect".
This is in conflict with the world wide trend of globalization?
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