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Imagine that everyone in the world pays a tax of t percent on interest earnings and on any capital gains due to exchange rate changes. How would such a tax alter the analysis of the interest parity condition? How does your answer change if the tax applies to interest earnings but not to capital gains, which are untaxed?
Does farming in the United States have the characteristics of perfect competition How does perfect competition in the farming industry help farmers and consumers? Hurt farmers and consumers
An online stock trading company makes part of their revenue from clients when the clients trade stocks therefore, it is important to the company to have an good idea of how many trades its clients are making in a given year. In a sample of 120 client..
If the final change in output for the economy as a whole is $119.6 billion, unemployment is 6.2% and there had previously been an initial increase in government spending of $46 billion, what is the value of the multiplier? Round your answer to one de..
Hypothesize how the four functions of money would be missed - Explain what the immediate effects would be on.
Comparison within Chicago economics - such as two Chicago economists, or two articles by Chicago economists, or two fields as they developed at Chicago, or ideas of a Chicago economist at different points in time.
A patent gives a firm a monopoly in the production of the patented good. While monopoly profits provide an incentive for firms to innovate, the monopoly power imposes a cost on consumers. Why do consumers bear a cost from that monopoly?
because industry x is characterized by perfect competition every firm is earning zero economic profit. if the product
The division of a large office services company that makes high-end copiers recently signed a five-year, $25 million contract for IT services from CGI Group, a Canadian information technology company.
Tariffs and quotas can be used to achieve similar ends. In fact, for any given quota, there is an equivalent tariff that will limit imports to exactly the same amount. Still, there are differences between quotas and tariffs.
Robin and Terry are stranded on a deserted island and consume two products, coconuts and fish. In a day, Robin can catch 2 fish or gather 8 coconuts, and Terry can catch 1 fist or gather 1 coconut. 1. Suppose that each person is initially self-suffi..
Is annual money income a good measure of economic status? Is a family with an $80,000 annual income able to purchase twice the quantity of goods and services as a family with $40,000 of annual income? Is the standard of living of the $80,000 family t..
Explore the business of Farmer Ted.
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