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Imagine that we know that Okun's Law applies to a particular economy, let's call it "Messi-land". Suppose we are told that over a certain period employment in Messi-land grew by 2% while over the same period the labour force in Messi-land grew by 3%. Assume that the natural rate of unemployment in Messi-land has not changed over the period. What can we say must have happened to the output gap in Messi-land over the period? Has it risen? Fallen? Remained the same? Can't say? Explain your answer fully.
A monopolist faces a market demand curve given by: Q = 70 – P. This monopolist charges a single price for its output. If the monopolist can produce at constant average and marginal costs of AC = MC = 6, the monopolist’s profits are equal to what numb..
Is the Affordable Health Care Act (Obama Care) good for America? Explain why or why not? What would you put in place or how would you improve the current system?
Use the above graph to construct a production possbililites curve placing corn on vertical axis and paper on the horizontal axis. What is the marginal opportunity cost of producing the first unit of paper? The marginal opportunity cost of producing t..
Describe the economic status of South Korea. What types of economic activities are most prominent there? What factors have led to your region's growth or lack thereof?
Examine any foreign currency of your choice (preferably one from an emerging market), and provide an analysis of that currency against the U.S. dollar over the 5-year period
q.sensitivity analysis using excellane construction ltd. is considering the acquisition of a new eighteen wheeler.-the
The intercept of a compressed demand function is 10,000 and the coefficient of inverse demand function is – 0. 4. Calculate the following: demand curve ; total revenue curve ; profit maximizing price, when MC = $0.
The trade or business of manufacturing dolls and accessories
To make the financial markets safer, the Canadian government proposes tightening the rules for making a loan. Such rules require higher borrower creditworthiness and shorter pay-back periods. Analyze this proposal in a supply and demand for loan able..
What do the problems with the measurement of the Gross Domestic Product (GDP), Consumer Price Index (CPI) and unemployment rate statistics mean about the actual state of the economy as compared to what the statistics indicate. Is the country really d..
During Great Depression, businesspeople in United States were very pessimistic about future of economic growth and reluctant to increase investment spending even when interest rates fell. How did this limit potential for monetary policy to help al..
As the U.S. price level decreases, other things equal, U.S. products become
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