Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Using the National Income Account, and graphing the market for loanable funds, answer the following questions:
(a) Draw the Demand and Supply curve for loanable funds such that the equilibrium interest rate is 3% and the equilibrium quantity of loanable funds is $10 trillion. Describe the type of interest rate used in this model.
(b) Suppose now that the government is concerned with the way the economy is working – more specifically, the current high unemployment rates require higher growing rates in the near future – and decides to introduce a tax break in future investment-taxes equal to the 30% of the investment done in the next 6 months [use only the effect on investment and not on taxes]. Explain how this new policy would affect the equilibrium in (a).
(c) Now suppose that current government spending falls from $25 trillion to $18 trillion. How will this change affect the equilibrium in (a).
(d) Assume now that both changes in (b) and (c) occur at the same time. What will happen with the equilibrium interest rate and equilibrium quantity of loanable funds in (a).
Determine the ending inventory under a perpetual inventory system using (1) FIFO, (2) moving-average cost, and (3) LIFO.
The percentage effect which increase in output will have on the profit made from producing and selling commodity Alpha will be.
Illustrate car production is capital intense relative to textiles. The US is capital abundant and China is labor abundant. Under trade, both countries produce both goods. If the labor endowment were to increase in the US, this would.
Marcus’s utility function is U(X, Y) = (X + 2) (Y + 1). a. Write an equation for the indifference curve that goes through the point (2, 8). Graph the indifference curve for U=36 c. Let Px=Py=1 and m=11. Draw Marcus’s budget constraint in the graph fr..
Consider an economy where, consumer’s utility function is given as U(C,L)=C-(1/2)L2 . where C is consumption and L is labor. The production technology is Y=(1.6)L-(1/2)L2 . The turnover cost per labor is (0.36)/(w/p). Find real wage, employment, outp..
A CNC mill was purchased 4 years ago for $50,000. The current market value is $26,000, which will decline as follows over the next 5 years: $20,000, $16,250, $14,000, $12,000, and $8500. The O & M costs are estimated to be $6000 this year. These cost..
According to an article in the Wall Street Journal the price of flat-screen televisions fell between 2001 and 2004 from more than $8,000 to about $3,000. During that period Sharp, Matsushita Electric Industrial, and Samsung all began producing flat-s..
State two ways the labor supply curve shifts to the right. Explain how each way impacts the equilibrium wage, equilibrium full employment, total output, productivity, and standard of living in the economy?
Identify four policies the government enacted following the financial crisis. Evaluate what effect these policies would have on the economy from both a short-run and a long-run perspective. Be sure to include: -The distinction between the short-run a..
Andy’s decision to increase his purchase of a particular good by 150 units from its previous level of 50 units was brought about by the fact that another good was on sale at 50% off the initial price. Explain, with correct numerical calculations, whe..
Illustrate what about Italian labor-force participation rate and unemployment rate.
If the Boca Raton Company has only one rival also if its rival too makes such a declaration does this change payoff matrix? If so, in illustrate what way.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd