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Heavy rains caused the flooding of the Mississipi River and the Missouri River as well as some of their tributaries. This flood represented an important macroeconomic shock significantly damaging the aggregate capital stock and reducing current output.
1. Explain, with the help of a graph, what happens to a firm's desired level of future capital for any given level of the expected real interest rate. 2. Explain, with the help of a graph, what happens to the desired level of investment for any given level of the expected real interest rate and to the desired investment curve. 3. Explain what happens to households' optimal level of current and future consumption and savings everything else constant. 4. Explain, with the help of a graph, what happens to the desired savings curve. 5. Assume that the goods and services market is initially in equilibrium. Explain, with the help of a graph, what happens to the equilibrium real interest rate, level of savings and investment. Discuss all possibilities.
Graph the firm’s long-run average cost and show that it reaches a minimum where q =1. Determine the long-run equilibrium price (p*) and the firm’s long-run equilibrium output (q*).
How does an increase in the price of widgets affect the: And describe the effects in detail?
Consider the demand for mobile phones. Suppose the price elasticity of demand for the market as a whole is .80. A. If all mobile-phone companies simultaneously increased their prices, will total revenue in the industry increase of decrease
Efficiency wage models are sometimes used to explain the existence of involuntary unemployment in the labour market. Provide a short description of the shirking model. Why can it be in a firm's interest to increase the wage above what is paid by o..
What are the equilibrium price and quantity? How much revenue do kumquat producers receive when the market is in equilibrium? Draw a graph showing the market equilibrium and the area representing the revenue received by kumquat producers.
There is significant disagreement whether a dependable positive correlation (relationship) exists between incentive pay and individual employee productivity. Question is what causes you to come down on one side or the other on this issue?
Suppose initially that the demand supply for premium coffees is in equilibrium. Now suppose Starbucks introduces the world premium blends, demand increase substantially.
Southcoast Oil's fixed costs are $2,500,000 and its debt repayment requirements are $1,000,000. Selling price per barrel of oil is $18 and variable costs per barrel are $10.
what will happen to equilibrium of peanut butter traded in the market after the 30% increase in the price of peanut butter? stay the same, increase, not enough info to answer, or decrease. what will happen to the total revenue os us peanut butter..
Guthrie Enterprises needs someone to supply it with 230,000 cartons of machine screws per year to support its manufacturing needs over the next five years, and you've decided to bid on the contract.
If 50 applicants are chosen at random, what is the probability that 17 or more of them will meet the GPA threshold? (Note: You’ll want to use your answer from part a. If you’re not sure about this answer (and even if you are), be very clear about yo..
question 1 a what market structure is used to benchmark allocative efficiency and why do we use it?nbsp illustrate and
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