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What would be appropriate fiscal policy to help stabilize our economy? Please evaluate how our economy is doing and why you selected your respective fiscal policy action. What are some of the challenges of using fiscal policy to stabilize our economy?
Suppose that GDP is equal to 1000, national saving is equal to 200, the current account deficit is equal to 100, and the government budget deficit is equal to 50. Investment must equal...?
Assume the Federal Reserve decides to sell $25 billion worth of U.S. Treasury bonds in the open market. Describe the process through which this action will impact the level of reserves in the banking system.
Suppose the government reduces taxes by $20billion, that there is no crowding out and the marginal propensity to consume is 3/4. what is the initial effect of the tax reduction on aggregate demand? what additional effect follow this initial effect? w..
Suppose that a given firm experiences decreasing marginal product of labor with the addition of each worker regardless of the current output level. Average total cost will be A) rising at al points B) falling at all points C) constant D) U-shaped
In calculating the GDP, why aren't stock market investments included? a. Stock prices fluctuate daily and a true value is hard to determine. b. Owning stocks does not contribute to our country's well being. c. The investment could actually turn into ..
Suppose you were worried that national income did not adequately take into account the depletion of the stock of fish in the economy. Describe how you would advise the Commerce Department to take this into account in their calculation. Make up fictio..
The import tariffs that President Bush placed on imported steel likely had what effect?
q. athe economist on the 14th february 2008 printed the following more recently the post-mortems on americas 2001
In the context of criminal law, discuss the comparative advantages and disadvan- tages of the following pairs: Fines Vs. Probability of ‘Detection and Punishment.’Fines Vs. Prisons. Maximum-but-Uniform fine Vs. Incremental-Fine
Show that a specific tax of $3.70/unit generates the same revenue as a 20% ad valorem tax
Suppose that demand is given by the equation: Using the midpoint formula, calculate the elasticity for demand when the price changes from $49 to $51. Would you classify the elasticity you calculated as elastic, inelastic, or unit elastic?
Crepe Creations is considering franchising its unique brand of crepes to stall-holders on Hermoza Beach, which is five miles long. CC estimates that on an average day there are 1,000 sunbathers evenly spread along the beach and that each sunbather wi..
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