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If the price index was 110 last year and is 121 this year, what is this year’s rate of inflation? What is the “rule of 70”? How long would it take for the price level to double if inflation persisted at (a) 2, (b) 5, and (c) 10 percent per year?
GDP is $14 trillion. government wishes to increase real gdp to 15 trillion. marginal propensity to consume (mpc) is 0.8, and every $1.00 increase in real government spending crowds out $0.50 in real planned investment expenditures
Illustrate what is the opportunity cost for Italy if they only produce 1 bushel of grapes? What about 1 computer.
What must the CFO expect about the Australian Dollar/US$ exchange rate 1 year from now if she chooses to invest in the US $ CD's instead of the Australian CD's?
Explain how globalization affects the gross domestic product (GDP).
Since the US gov't was running a budget deficit at the time, assume that the war was financed by gov't borrowing. How does the equilibrium interest rate and private investment change in response to gov't expenditure on the war?
Critically discuss the strengths and weaknesses of using per capita national income (even once adjusted for purchasing power parity) as a measure of welfare. Discuss at least two alternative measures of national welfare that have been put forward? ..
Illustrate the impact of inflation on consumption, aggregate demand.
1. What is the least-cost combination of labor and capital the firm should employ in producing 80 units of output? explain. 2. What is the profit-maximizing combination of labor and capital the firm should use? Explain. 3. What is the resulting level..
Elucidate the difference between the law of demand and the law of supply. What does the phrase 'other things equal" mean? Why do we need that.
Please make sure you have a thesis (a main point that you are making) and develop it thoroughly and coherently. Use specific examples based on empirical evidence (from research, direct observation and experience) and clear standard English.
Wy might a parent company like McDonald Hilton choose to franchise its local outlet rather than own them and staff them with employees In many smaller cities all McDonalds franchise are owned by the same franchise.
The price level of a basket of goods in 2002 was $64.00. The price level of that same basket in 2003 was $68.00. If 2002 is the base year, what was the price index in 2003?
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