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Suppose that discount brokers make bonds more liquid.
a. In the liquidity preference theory, how does this development affect money demand and the interest rates? Explain your answer verbally and illustrate it graphically using the market for money diagram.
Although the company does not have the resources needed to supervise the workers, a full time inspector verifies the quality of each unit produced before a worker is paid for his or her output.
Evaluate the following statement: Even if the prices of a large number of goods and services in the economy increase dramatically, the real GDP for the economy can still fall.
Suppose that the government increases taxes and government purchases by equal amounts. What happens to the interest rate and investment in response to this balanced-budget change. Does your answer depend on the marginal propensity to consume.
with technological advances companies can expand their operations effectively and efficiently. international financial
If at a point in time long term interest rates were below short term interest rates, what would this indicate about investors expectations of future short term interest rates? Explain your answer in a few sentences.
small country tariffin the u.s. supply and demand for a particular good are given by the equationsqs 10pqd 105 -
What are equations for IS and LM curves? What is equilibrium level of income and interest rate? What if mix of fiscal and monetary policies is changed. Te money supply is increased by 100 while government spending reduced by 250:
If a representative company with long run total cost given through TC = 50 + 2q + 2q2 operates in a competitive industry where the market demand is given through QD = 1,500 - 40P,
Select a current exchange rate practice and explain the economic factors that influence that practice. As always, please provide references to support your efforts.
A vertical, frictionless piston-cylinder device contains a gas that is in equilibrium with the weight of the piston balanced by the internal pressure for the gas.
Suppose the government reduces taxes by $20 billion, that there is no crowding out, and that the marginal propensity to consume is 3/4. a) What is the initial effect of the tax reduction on aggregate demand
locate at least two cases that focus on ethical missteps by companies concerning safety-related issues.what are the
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