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Try your hand at stabilizing the U.S. debt by using Committee for a Responsible Federal Budget Simulation. Answer the following questions once you have completed the simulation:
Were you successful in stabilizing the U.S. debt? If not, how much of a deficit or surplus did you end up with? What does this exercise tell you about the process of creating a budget plan?
Reexamine the budget cuts or increases you made. What problems would such changes pose for a politician facing reelection?
This budget simulator allows you only to change spending and tax expenditures over a one-year period. This poses what problems to finding a realistic economic solution?
Intel is a monopolist manufacturing computer chips with a competitive fringe of firms that act as price takers of the price Intel sets. The market willingness to pay for the P80 chip is given by p = 400 - Q, with p in dollars per chip and Q in thousa..
If a country's currency's external value is tied or pegged to the currency values of the country's leading trading partners, this arrangement
If the owners could have earned a 20% annual rate of return on the invested money, explain how would the economic profit change (all else equal). How would the accounting profit change.
Explain how the economy can adjust in the long run to restore full-employment equilibrium. Draw a graph to illustrate this adjustment process.
Alternative A has a first cost of $20,000, an operating cost of $9,000 per year, and a $5,000 salvage value after 5 years. Alternative B will cost $35,000 with an operating cost of $4,000 per year and a salvage value of $7,000 after 5 years. At an MA..
Which of these consumption activities will most likely impose an external cost? Which of the following cause and effect events is in order for a seller. Which of the following demonstartes the law of demand. which of the following is the best example..
q1. you have been hired to be a consultant on pricing strategies for two different companies. both of the companies
Suppose a liquidity trap exists and current output is below its natural level.(i.e. an economy is currently operating at the zero nominal interest rate) can this economy return to its natural level automatically? if it can not, explain the mechanism ..
Our recent recession seems to demonstrate again that expenditures and incomes depend on each other. If markets do not self adjust, how can a decline in spending lead to a negative process that ruins an economy? (Consider referencing the "Keynesian Cr..
The World of Videos operates a retail store that rents movie videos. For each of the last 10 years, World of Videos has consistently earned profits exceeding $30,000 per year. The store is located on prime real estate in a college town. World of Vide..
The credit score of a 35 year old applying for a mortgage at Ulysses Mortgage Associates is normally distributed with a mean of 500 and a standard deviation of 100. What credit score represents the third quartile?
Which strategy offers both Westinghouse and General Electric the best financial outcome. Among which of the following is an example of a good with an inelastic supply.
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