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Monetary Policy Debates:
a) Monetary Transmission Mechanism: According to the Keynesian school, show what happens, step by step, when the Federal Reserve sells US treasury bills to US banks.
i) Show the impact in the Money Market
ii) Show the impact in the Keynesian Cross Diagram
iii) Show the impact in the IS-LM graph
iv) Show the impact in the AD/AS graph
Use Okun's law to determine the size of the GDP gap in percentage-point terms. If the potential GDP is $500 billion in that year, how much output is being forgone because of cyclical unemployment?
Now assume that the government imposes a price ceiling of $4 per bushel on tomatoes. What do we call this situation Which curve (supply or demand) sets the actual number of tomatoes traded in the market if the price ceiling is in place
Explain the aims of counter cycliceal policy. Show how governments might achieve these aims by using the instruments available to them
What is a budget constraint? How does a budget constraint explain consumer choices when used in conjunction with indifference curves? Explain what happens if a household looses half of their income, using a budget constraint and indifference curves i..
Assume you were appointed economic adviser to a less-developed nation in Africa. The nation seeks to encourage capital formation and wants to increase the rate of saving.
A team of minor league baseball is trying to predict ticket sales for the upcoming season and is considering changing ticket prices.
In your discussion, comprise the reason for the lawsuit, the outcome of the trial and how this lawsuit affected Microsoft and consumers.
As all points on a contract curve are efficient, they are all equally desirable from a social point of view.
I'm trying to discuss whether integration between the following types of firms would constitute a horizontal, vertical, or conglomerate merger.
In your answer compare and contrast the relevance of techniques and practices utilized in Multics to those which are currently employed today in both a networked and a standalone computer environment.
Lou's preference over pizza(x) and other goods(y) are given by U(x,y) = xy, with associate marginal utilities MUx=y and MUy=x. His income is $120.
Mr. Shanku has borrowed dollars in the US but is now concerned regarding its currency risk. What alternatives does he have to limit his risk.
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