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Find the marginal utility functions of the following utility functions:
Plot the marginal utility functions. Indicate which of these functions appear to exhibit diminishing, constant or increasing marginal utility?
1. u(x,y) = 3x + 2y
2. u(F,C) = 10FC
3. u(F,C) = .2F2C2
4. u(x,y) = (XY)1/2
Describe the role of a country"s central bank and the tools that a central bank can use to control the money supply, and explain how a central bank can use monetary tools to implement monetary policy.
Discuss the appropriate monetary policy that the central bank should be operating, given the above situation.
Consider a monopolist facing a demand curve given by P = 20 – q, where P is the market price and q is the quantity sold. The monopolist's marginal costs are MC = 2 per unit; there are no other costs.
The consumption taxes the government collects in a given period are not restricted to be levied on consumption from only in that period.
Expalin how are the current real stock of money in the U.S. and real interest rates computed.
Suppose a natural real output in the economy of Eudemonia grows at a steady rate of 3 percent per year. In the past, velocity has been approximately constant, and the Eudemonia Central Bank (ECB) has maintained a target rate of growth of 4 percent
The business section of most major newspapers contains a table showing U.S. exchange rates. Find such a table and use it to answer the following questions. a. Does this table show nominal or real exchange rates? Explain. b. What are the exchange rate..
Suppose the firm decided to lease the large factory, and has put down a non-refundable deposit of 4,000 for that factory. Provide a recommendation concerning which factory firm should lease, and the number of boxes of chalk it should produce.
Explain why the Aggregate Supply curve becomes increasingly steeply sloped at levels of RGDP near "full employment" and becomes especially steeply sloped beyond "full employment" RGDP (hint: this topic is not discussed in your text. you will need ..
A corporation has a variable-rate loan with a bank paying LIBOR plus 65. The company wants to make a synthetic fixed-rate loan and enters into an interest rate swap paying a swap fixed rate of 9% and receives LIBOR.
How many units of housing would the government have to increase the supply of housing /in order to get the market equilibrium rental price to fall to $1500 per month? To $1000 per month? To $500 per month?
To reduce competition from foreign producers. is the best states the purpose of an import quota. is it true or false.
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