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The common currency in Europe was created because (a) governments had come to the conclusion that the system of floating exchange rates floating exchange rates contributed to continuous trade imbalances, or because (b) they believed that a common currency would bring about a deeper economic integration among the countries, or (c) both (a) and (b). Explain your answer.
What is the loss to fans from the monopoly power that sports franchises exert? Be precise in your reasoning. (Verbal explanation and shows P, MC and MR.)
The company you work for recently has committed itself to implementing a program of social responsibility. After the company has gotten the commitment of top executives, planned the program, and appointed a program director, you suggest that a (n) __..
Jaynet spends $25,000 per year on painting supplies and storage space. She recently received two job offers from a famous marketing firm – one offer was for $105,000 per year, and the other was for $85,000. What are her accounting profits? What are h..
Please provide three explanations regarding why the aggregate demand (AD) has a negative slope according to the Keynesian model. Suppose that the aggregate supply (AS) is flat (i.e., a horizontal line and this may indicate the economy is operating un..
Elucidate what impact on quantity demanded and supplied for cars will be if oil costs rise to $200 per barrel. Illustrate what about if extreme recessionary conditions prevail.
One unit of labor can produce either 4 tons of papayas or 1 ton of bananas. Elucidate type of economic analysis is limited to testable, verifiable statements.
Consumer demand for oil—including oil in the form of both gasoline and home heating oil—is fairly inelastic in the short run and more elastic in the long run. In the short run, will a shift in the supply of oil (say, caused by a disruption in Mideast..
illustrate what do you think will characterize the goods which the EU exports to the United States also the goods which the United States exports to the EU.
Suppose that between 2003 and 2007, one group of individuals (Group 1) received job training while another otherwise similar group (Group 2) did not. Suppose that the average earnings of the first group went from $40,000 per year to $55,000 per year,..
Illustrate now have to lend out how much does this bank if it decides to hold only required reserves.
As conditions in short term financial markets improved by summer of 2009 the Fed closed down its lending under these programs. However, throughout the next 4 years the Fed increased substantially its purchases of longer term mortgage backed securitie..
Potato farming (like farming of most agricultural products) is highly competitive. Price is determined by demand and supply. Based on U.S. Department of Agriculture statistics, U.S. demand for potatoes is estimated to be QD = 184 - 20P, where P is th..
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