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How would the four basic markets of the macro model (Aggregate Demand and Supply, Long Run Supply, Labor, Credit or Money, Capital change) change in response to the catastrophe in japan. Most importantly, how would the lines and curves in each market shift if they were drawn?
Illustrate what economic forces and mechanisms work to maintain trade equilibrium. How does the balance of trade impact business decisions.
Assume that the nominal wage rate equals 60. In the short-run, aggregate demand and aggregate supply are equal at a price level of 1 calculate the real wage rate.
In addition, pi* is the central bank's target level of inflation , and b is some positive parameter. This rule states that the central bank raises the real interest rate above its long-run level when inflation is above its target and lower when it..
The necessary change in taxes and government spending and the effect on aggregate demand, GDP, and employment.
1. Using your understanding of tax incidence explain why some states do not charge sales tax for basic foods. 2. Explain how the elasticity of demand influences tax revenues? 3. Define progressive, regressive and proportional taxes and give an exampl..
Asume that an individuals inverse demand for wireless services in the greater Atlanta.
When McDonald's Corporation reduced the price of its Big Mac by 75 percent if customers also purchased french friesand a soft drink.what do you think disrupted McDonald's plans.
By how much has the Franc enchanced or depreciated against the dollar.
A law was passed requiring a minimum weight for fashion models. Using game theory 2X2 matrix, show how the law prevents a prisoner's dilemma and makes the models better off. Show what the game theory looks like without this law.
What is the major problems caused by a large national debt.It is does not allow small investments by private individuals or else.
Since 1990, energy use per person has either remained fairly stagnant or has increased in different nations and regions of the world. Match the nation or region with the trend in energy use per person since about 1990. Column preview China. increa..
Draw an aggregate demand(AD)-aggregate supply (AS) complete framework that shows where the US economy in a full employment equilibrium& then where it is now.
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