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Describe why a monetary policy is impotent in achieving macroeconomic goals under the fixed exchange rate system. Begin your discussion with the assumption that the economy is at equilibrium in the balance of payments (external balance), however at less than full employment (internal imbalance).
If from 1980 to 2005, the average growth rate of aggregate output for the economy of Groland was 4.5 percent, while over the same time, Groland's population grew an average of 2.0 percent per year, and then aggregate output per person grew at an aver..
A laser-based system installed for B = $150,000 three years ago can be sold for SP = $180,000 now. Based on 5-year MACRS recovery, BV3 = $43,200. GI for year is $800,000 and annual operating expenses average $50,000. Decide TI and taxes if Te = 34 pe..
The park and recreation department of Cass County has estimated that the initial cost of a park will be $2.3 million. Annual upkeep costs are estimated at $ 120,000. Benefits of $340,000 per year and dis-benefits of $ 40,000 per year have also been i..
"Moral Hazard" Please responds to the following: In 2020, a leading insurance company started a policy that pays a policy holder a five percent rebate on their insurance premium in a year in which the policyholder does not file an insurance claim. Fo..
Presume that the dependent variable in your regression has a non-normal distribution, even after controlling for the x variables (In other words, MLR.6 is violated). Under what circumstances can the OLS coefficients and standard errors still are util..
To what degree do you think the Open Source business models described in the MySQL case study will eventually supersede more traditional business models?
Presume a bank is faced with two kinds of borrowers- a high risk borrower that must be charged an interest rate of 9% and a low risk borrower that must be charged an interest of 4%. There is a 30% chance of getting a high risk borrower and a 70% chan..
What are the necessary conditions to make price discrimination work and the best practices to use price discrimination to maximize profits while avoiding price wars? In your discussion make evident the challenges of the strategy even in markets where..
Do Okun's law and the short-run Philips curve appear to be related concepts? Would a breakdown in the Okun's law relationship strengthen or weaken the case for active policy making?
The transactions demand for money is most closely linked to money's function as a:
If at a point in time long term interest rates were below short term interest rates, what would this indicate about investors expectations of future short term interest rates? Explain your answer in a few sentences.
Consider an industry described as a duopoly consisting of two symmetric firms producing homogeneous product. Inverse demand function is P = 1500 -10Q and each firm has a marginal cost of $20 with fixed cost of zero.
one reason for government intervention in the economy is to discourage the consuption of goods which have negative externalities. Carefully explain why and the extent to which these goods should be taxed.
Which of the following was an outdated notion regarding open source software and has been shown to be inaccurate? a. Open source software is free and its code is available for anyone to look at and potentially modify.b. Open source software code can ..
country a and country b produce fruit and timber. each country has a labor force of 1200. country a can produce 10
Explain the role of adjustable-rate mortgages (ARMs) in exacerbating the financial crisis. Explain the Basel requirements and how banks got around the Basel accords, which limited the amount of mortgages and other risky assets that banks could hold..
Policies that affect the supply of output in the economy as a whole are:
Obtain price elasticity of demand for good one. Obtain income elasticity of demand for good and find the amount of compensation needed for Hicks compensation
suppose there are two occupations rap musicians and country musicians.a. draw hypothetical supply and demand graphs for
Devise a government subsidy that will induce private education providers to educate socially optimal number of students. Explain. Provide a $ amount for the subsidy.Does it ever make sense to not educate some students. If the example were couched ..
many executives will save an organizations money by not having auto insurance on the fleet of company vehicles whereas
Using Minitab estimate the expected value of its profits and standard deviation of profits and calculate the expected value of returns of stock A & B
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