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(a) Recommend some U.S. fiscal policy change in taxes, and explain why that change would be good for most firms and good for the U.S. economy. (b) Recommend some U.S. fiscal policy change in government spending or transfers, and explain why that change would be good for most firms and good for the U.S. economy. (c) Would it be an economic efficiency improvement to limit government in the United States to laissez-faire policies? Briefly discuss.
five firms supplied amateur color film in the United States: Kodak, Fuji, Konica, Agfa, and 3M. From a technical viewpoint, there was little difference in the quality of color film produced by these firms, yet Kodak's market share was 67 percent.
What are some of the reasons why the government will need to focus on spending levels to stimulate the economy?
What are the four supply factors of economic growth? What is the demand factor? What is the efficiency factor? Illustrate these factors in terms of the production possibilities curve. What are the four supply factors of economic growth? What is the d..
q1. if the government reports that gdp increased at an annual rate of 6.0 percent for the fourth quarter of 2010 by how
Suppose that in the short run k=100. Moreover, wage of labor is w=5 and price of the product is p=10. What are the optimal units of labor?
Perfect competition is a market in which there are many firms, each selling an identical product; many buyers; no barriers to the entry of new firms into the industry; no advantage to established firms; and buyers and sellers are well informed about ..
The Average Total Cost curve must be rising. The Average Total Cost curve must be below the Marginal Cost curve. The Average Total Cost curve must be above the Marginal Cost curve.
Is the current Monetary Policy expansionary or contractionary? Give your reasons for your answer. What effects does the Federal Reserve expect this policy to have on the U.S economy?
The total surplus (TS=PS+CS) under the old tax per unit was $2000. Next, government reduces the tax rate such that the total government revenue drops $200 below its previous value and DWL drops $100 below its previous value, what can be a possible ne..
Suppose that the inverse demand curve is: p(q) = a − bq, and the cost function is: c(q) = cq. (a) Draw a graph showing the demand curve and marginal cost curve, with dollars on the y-axis and quantity on the x-axis. How much consumer surplus is gener..
An economy adjust on its own to close a recessionary gap because there is
Suppose you are trying to choose between 2 plans for your long distance telephone service. If you choose plan 1, your monthly bill will be computed according the equation: B is your monthly billing fee in dollars and Tis your monthly volume of long d..
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