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Assume that the demand for real money balance (M/P) is M/P=0.6Y-100i, where Y is national income and i is the nominal interest rate (in percent). The real interest rate r is fixed at 3 percent by the investment and saving functions. The expected inflation rate equals the rate of nominal money growth. Identify d(M/P)/di. What does this mean?
Discuss one or two examples of media that have influenced your desires or affected your consumer choices and consumer behavior influenced by advertising.
2. Mitch Miller wants to use his optical drive to play a Moody Blues CD. When he inserts the disc and closes the drive tray, the drive turns, but he does not hear any music. What type of problem would a technician say this is?
Obtain the demand functions for skilled and unskilled labor. Show the equilibrium graphically on two diagrams: market for skilled labor and market for unskilled labor.
(a) How much labor does the monopsony firm hire and at what wage when there is no minimum wage? (b) How much labor does the monopsony firm hire and at what wage when it must pay a minimum wage of $25?
If you travel around the world, you will see tremendous variation inliving standards of the people. The world's poor countrieshave average levels of income per person, that are less thanone-tenth the average levels in the world's rich countries
How were GDP, inflation, and unemployment affected during the recession, and how does the model show this? What monetary policies and fiscal policies were implemented during the recession? How did the recession affect U.S. trade relations and the U.S..
Graph the isoquant that these calculations imply. Explain in very clear and complete terms why the isoquant has the shape that you observe.
Using the basic Economic concepts answer the questions below. Explain based on the Economic concepts the reason why college students choose to study.
There is a stretch of I-81 in Virginia where there is a single cellular carrier that has roaming charges for any cell phone calls made in its territory. It is the only cellular carrier in that territory, and it is confident that no other cellular ..
A monopoly is considering selling several units of a homogenous product as a single package. A typical consumer’s demand for the product is Q^d = 50 - 0.25P, and the marginal cost of production is $120.
If the arena manager knows that the customers identical inverse demands can be expressed collectively as p(y)= 25-0.000625y, how much of a parking fee could the management collect if the marginal cost of providing entertainment were constant MC=10..
In this situation what would happen to aggregate demand and aggregate supply, unemployment, and inflation should the federal government cut business and individual taxes by 4 trillion dollars next year? Use the Phillips Curve and aggregate demand ..
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