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Suppose that the velocity of circulation of money is V = 5 and the nominal GDP of the nation is $200 billion.
(a) What is the quantity of money demanded by the nation?
(b) By how much will the quantity of money demanded rise if the nation's nominal GDP rises to $220 billion?
(c) What happens to the nation's demand for money if its nominal GDP increases by 10 percent each year?
4. Suppose that the domestic credit created by the nation's monetary authorities is $8 billion and the nation's international reserves are $2 billion, and that the legal reserve requirement for the nation's commercial banking system is 25 percent.
(a) How much is the monetary base of the nation?
(b) What is the value of the money multiplier?
Suggest a possible action of the government to induce the market for education to perform more eminently.
If you were going to run an experiment with human players for such a scenario, would you predict that players would use this strategy?
Suppose a random variable X has a discrete uniform distribution on the first m positive integers. Find the mean and the variance of X. What are the mean and the variance if X equals the outcome when rolling a fair six-sided die
Algeria has a negative trade balance of $7 billion. If it has a positive balance of goods of $10 billion, how much is its balance of services?
What is the value of having an ethics program (and related programs like safety programs) and what are the responsibilities of front line leaders/supervisors and the workers when they face dilemmas such as the one described?
A company is considering building a bridge across a river. The bridge would cost $2 million to build and nothing to maintain. The following table shows the company's anticipated demand over the lifetime of the bridge.If the company were to build t..
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A French company merges with an American company; stockholders in the U.S. company exchange their stock for shares in the French firm.
determine the relationship between a, b and c if the parabola is to have no real x-intercepts.
For each of the following cases, calculate the arc price elasticity of demand and state whether demand is elastic, inelastic, or unit elastic. When the price of milk increase from $2.25 to $250 per gallon
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Where would you plot full employment on a production possibilities frontier? Now suppose that in a time of crisis everyone pitches in and works much harder than usual. What happens to the production possibilities frontier?
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