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Suppose macroeconomic policy makers want to keep interest rates constant while increasing consumption in the short run when prices are fixed. Describe the mix of macroeconomic policies that can achieve this dual macroeconomic objective. Describe what happens to output, investment, the government budget deficit, and the money supply. Please include graphs
Roulette is a game named after a French diminutive for little wheel. In the game, players may choose to place bets on either a single number or a range of numbers, the colors red or black, or whether the number is odd or even. What is the average of ..
Let the inverse demand curve be p(q) = a − bq. Suppose there are two firms, with constant marginal cost equal to C. what are their equilibrium strategies and what is the equilibrium outcome?
Some of the forces working against freer global trade are:
Assume that the market for unskilled fast food workers is given by the following equations: Find the equilibrium price and quantity solving the two equations. Show graphically the demand and supply curve and mark the equilibrium wage on the graph.
There are 2 fishermen, Zach and Jacob, who fish along a certain coast. Both would benefit if lighthouses were built along the coast where they fish. The marginal cost of building each additional lighthouse is $25. The demand curves for lighthouses ar..
You and your neighbor both enjoy live performances by Katy Perry. Your neighbor is quite well o? and has been hiring Katy Perry to perform in their apartment. Katy Perry charges $5,000 per hour to perform at someone’s home. Your neighbor’s demand for..
Discuss your power sources (and your co-owner of the property you two are trying to sell power sources) in this negotiation, and analyze how you can strengthen your power position
Home has 3,600 units of labor available. It can produce two goods, shirts and pants. The unit labor requirement in shirt production is 4, while in pants production it is 6. There is another country, Foreign, with a labor force of 2,400. Foreign’s uni..
What caused many nations to abandon the gold standard by the end of WWI? What were the consequences of that action?
Suppose we now care about the long run decisions of a firm that has a production function of the form q = 4L^1/2 + K. What are the optimal choices of inputs for this firm? Do you find something unusual what compared to the optimal choices for q = 10 ..
What effectiveness of monetary policy depends on how easy it is for changes in money supply to change interest rates.
Provide examples of different tools businesses use to identify the elasticity of their different customers. Also elucidate how the financial aid department determines student elasticity.
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