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1. How are final goods that are unsold and held in inventory accounted for in the national income accounts?
2. If the Federal government consistently runs deficits, and nothing else changes in the economy, what must happen to market interest rates and why?
3. With freely fluctuating exchange rates and all else held constant, what happens to the international value of a nation’s currency if that nation imports more than it exports?
q.explain why you believe in compensation plans differ at the two firms? in particular why do you think kaufmanns pays
Illustrate what does it imply about actual price level relative to expected price level. Illustrate what must happen to real and nominal wages in order to close a contractionary gap.
q1. suppose that you can schedule a worker up to four hours per day. the benefit function is given by bh 500h - 22.5h2
A small business owner purchased an HP computer system for $14,000. After making a down payment of $2,000, he agreed to make payments of $500.00 per month for 24 months. Find (a) the total instalment cost (b) the annual percentage rate.
Which of the following best explains why a $7 billion tax cut can lead to a $9 billion increase in consumer spending in the short run?
Manager of a computer company plans to spend on new hardware $3.5 million in the first year with amounts decreasing by $0.2 million each year thereafter. Income of the company is expected to be $8.0 million the first year increasing by $0.3 million e..
China will almost certainly overtake the US in terms of GDP within a decade or so. What does that tell you about the standard of living of Chinese people compared to those in the US?
On the left show the market for potatoes and how the competitive market price for potatoes is determined by supply and demand. 2. Now act as if you are a potato farmer in the Midwest of the United States. Assume that due to an increase in the federal..
State and Local Governments in this country use sales taxes as means of generating revenue. In other countries, a value added tax (VAT) is used to generate Government revenue. Please explain the difference. In your opinion, which tax system is most e..
If bond traders expect that an economy is sliding into recession, they ________ in anticipation of ________.
You are the manager of a monopoly that sells a product to two groups of consumers in different parts of the country. Group 1s elasticity of demand is -4, while group 2s is -3. Your marginal cost of producing the product is $20. Determine your optimal..
PC-World is a U.S. manufacturer of personal computers. The CEO is looking at opportunities for off-shore production. According to the CEO, a low wage country will give the company a cost advantage, while a high unemployment rate will mean that there ..
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