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In the boom years of the late 1990s, it was often said that rapidly increasing stock prices were responsible for much of the rapid growth of real GDP. Explain how this could be true by using aggregate demand and aggregate supply analysis.
Disclose what the book suggests once the short-term rate is much cheaper than the long-term in interest rate. Substantiate whether or not that is a normal occurrence or a cause for alarm.
Engineers for the Off Road Skateboard Company have determined that a 10% increase in all inputs will cause output to increase by 5%.
Recently submerged kingdom of Atlantis is populated through identical rational air breathing individuals. The king has decided to give an award to the industry whose product yields kingdom most economic value.
Now suppose that for the same three voters and candidates above, that it is discovered that candidate z once put ketchup on his eggs. Voter 1, is appalled and changes his ranking to x first, y second, z third. Voter 2, has always secretly ketchupe..
Assume Smith owns and works in a bakery located next to an outdoor cafe owned by Jones. The patrons of the outdoor cafe like the smell that emanates from the bakery.
Consider the impact of unemployment benefits on the labour market. How is a more generous unemployment benefit likely to affect wage setting, search effort among unemployed job searchers, and the rate of unemployment.
write a paper explaining my assessment of the current aggregate demand and aggregate suppy curves; my prediction and prescription for the near future.
Let's say there's a world-wide influenza pandemic. Assume that the marginal cost (supply) of influenza vaccinations is constant at $40. Assume that everyone in society has health insurance that pays 80% of all medical services
Even at these extreme prices, however, the station owner sold an average of 3,000 gallons per week, half of this at night. Despite catcalls, pickets, and even vandalism from angry motorists during the gasoline crisis, the owner "stuck by his pumps..
Utilize the marginal productivity theory of labor demand to predict the impact on the firm's employment level of the following events.
Compute utility function that corresponds to a constant Arrow-Pratt measure of absolute risk-aversion.
Collect an article from an Australian newspaper that relates to the current Australian macro-economy or a macroeconomic issue or problem. In a paragraph indicate which section of the course it applies to, why you selected the article and provide a br..
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