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1. Define fiscal policy. Determine whether each of the following, other factors held constant, would lead to an increase, a decrease, or no change in the level of real GDP demanded:
What is the optimal level of production of wine decanters? Verify that this level of output maximizes not minimizes profit
True/False: For each of the following concepts, decide whether it's true or false, and briefly explain why (2-3 sentences). You can also use diagrams if they are helpful. Each correct answer is worth.
Assume the elasticity of demand for chewing tobacco is .60 and the elasticity of supply is 2.30. Suppose an anit-chewing tobacco campaign decreases the demand for chewing tobacco by 18%. The equilibrium price of chewing tobacco will decrease by ..
1. consider the following policies each of which is aimed at reducing violent crime by reducing the use of guns.
Explain the differences and/or similarities between firms in pure competition market structures and firms in monopolistic competition market structure:
What is the total welfare (i.e., total surplus) at this outcome? d. What is the optimal level of pollution? What is the optimal level of pollution abatement? e. What is the total welfare (i.e., total surplus) under this optimal outcome?
Assume that Johnson deposits $350 of currency in his account in the XYZ bank. Later the same day Swanson negotiates a loan for $2000 at the same bank. In what direction and by what amounts has the supply of money changed?
Assuming that absolute purchasing power parity holds, what should the U.S./Canadian exchange rate be if the CPI in Canada is 225 and the CPI in the U.S. is 179 and the U.S. interest rate is 6%?
Illustrate why do the Classical or Monetarist schools of economic thought maintain that monetary stimulus is doomed to be ineffective in the long run.
Helen is buying a 12,375 car with a 3000 down payment, followed by 36 monthly payments of 325 each. The down payment is paid immediately, and the monthly payments are due at the end of each month.
Identify the economic incentives that motivate private firms to engage in pollution prevention activities. How might the government devise policy initiatives to exploit these natural incentives?
Explain why the payoff matrix in indicates that firms A and B face the prisoners' dilemma. from the following payoff matrix, where the payoffs are the profits or lesses of the two firms, determine (a) whether firm A has a dominant strategy, (b) wh..
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