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Suppose that through some cultural revolution one-half of Americans became vegetarians and would no longer eat any kind of meat. Assume that beef producers compete in perfect competition, and use supply and demand curves to explain the impact. What would happen in the short run to beef prices and the profits of beef producers? In the long run?
John Bros, owner of a spark plug manufacturing facility, is looking to expand his production capacity. He is considering three locations A, B, and C for the constructing of a new plant. The company wishes to find the most economical location for a..
Economists have estimated the subsiquent transportation elasticities.
Illustratr what is the Keynesian solution to a recession or depression. Explain how does the Keynesian multiplier work.
you have been tasked with briefing the firms finance team on an aspect of international finance and then leading a
What is outsourcing? Give examples of outsourcing in the manufacturing and services industries. Explain the examples. What is the difference between outsourcing and off shoring?
Suppose that z, the marginal product of efficiency units of labor, increases in the endogenous growth model. What effects does this have on the rates of growth and the levels of human capital, consumption, and output? Explain your results.
Show how to find equilibrium in an RC model? What is the relationship between the marginal rate of substitution between leisure and labor and the marginal product of labor in the RC model.
fiscal policy is a very precise tool for controlling aggregate demand. if the government wants to increase aggregate
G = Go; I = f (i...) but investment is NOT a function of income; X = Xo; with import function of M = Mo + mY. Assume a money demand function Md=Mt+Ml, with Mt=f(y) and Ml=f(i), and Ms=Mso. Now assume a significant increase in the public's liquid..
Assume that price level is fixed in the short run so that the economy does not reach general equilibrium immediately after a change in thee economy.
How does an expansionary monetary policy work? (Describe the steps through which an increase in money supply affects the real GDP). How does fiscal policy work? (Describe the steps through which an increase in G or TR, or a decrease in TX, affects ..
One of the most important skills to learn in managerial economics is the ability to identify a good business. Discuss at least four characteristics of a good business.
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