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Macroeconomics: How does government borrowing crowd out investment? What is the relationship between government borrowing and budget deficits?
elucidate the social gain from the market for cars. Be sure to show gains and losses to all relevant groups of Americans.
Consider a closed economy which can be characterized by the following equations: C = 400 + 0.8YD I = 600 + 0.1y- 1000r G = 300 T = 125 (M/P)d = 0.2Y-6000r (M/P)= 400 a. Solve for the goods market equilibrium and state the equation for the AD and IScu..
explain why a $100 billion increase in govermant purchases of goods and services will lead to a large increase in aggregate deamnd than a $100 billion decrease in taxes?
Illustrate which competitor is better positioned to take advantage of this opportunity. Assuming that neither company can segment the market.
The investors in exercise 2 are surprised by firm's performance in year 5. Instead of being $20 million, the firm's profits are $40 million. What happens to firm B's stock price in year 6 and 7?
Discuss in detail whether health insurance should be provided by employers. (Hint: refer to how employer-provided health insurance may address adverse selection, moral hazard, health care costs, etc.)
If the European Central Bank increases interest rates, the demand curve for European euros shifts rightward and the supply curve of European euros shifts leftward.
Saudi Arabia has a competitive advantage in the production of crude oil over the United States. Indonesia has a competitive advantage in the production of Nikes over the United States. Do you agree or disagree with these statements? Why? Explain the ..
A newspaper has a monopoly on the local news market in a town. The market demand is given by P=1.70-Q/20,000, making the marginal revenue MR=1.70-Q/10,000. The marginal cost is constant at equal to 0.80. The fixed cost is 2,000. So, the total cost is..
q1. assume that a very competitive start-up enters the market in direct competition with the oligopoly you described in
there are n ge 3 doctors who have created a partnership. in each period each doctor decides how hard to work. let eti
Suppose which equilibrium income is 3200 also the multiplier is 2.38. Equilibrium income would rise to 3400 if planned investment.
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