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Assume an economy without foreign trade (closed economy). The central bank perform a expansionary monetary policy and decreases the interest rate through increasing the money supply (one time).
How does the production, price level and interest get effected on short and long-term? Use the IS-LM model. Please explain thoroughly.
Why do points on a utility possibility curve represent efficient allocations of resources? Why must the utility possibility curve be downward sloping
Budget line showing the various combinations of scores on the two exams that she can achieve with a total of 400 minutes of studying.
Examine the impact on a small country following an outward flow of immigrants that decreases its labor force. Assume that land is specific to agriculture and capital is specific to manufacturing, while labor is free to move between the two sectors. A..
You are the manager of a hamburger joint with a marginal cost of $6.00 per hamburger. The hamburger joint is a local monopoly near campus. During the day, only students eat at the joint while in the evening only the faculty members eat there. If stud..
A consumer’s preferences are summarized by the utility function U = X2Y (then MUX = 2XY and MUY = X2 ). Assume that M = 120, PX = 4, PY = 2. a. What is this consumer optimal choice?
q1. how is the transfer price of an intermediate product determined whena there is no external market for the
Explain the basics of stakeholder theory as if you are talking to a friend. Should a corporation care about the interests of people other than shareholders? How would a corporation behave differently if it accepted a shareholder theory versus a stake..
Suppose firms become very optimistic about future business conditions and invest heavily in new capital equipment. Now use the diagram from part A) to show the new long-run equilibrium of the economy. (Assume there is no change in the long-run aggre..
A lone shepherd can graze 10 sheep per year in a meadow. Each additional shepherd who uses the meadow reduces the number of sheep that can be maintained by one per shepherd. What are the net benefits to society of this outcome? What is the efficient ..
Price elasticity of demand is constant along a linear demand curve. If a 10% fall in the price of bagels results in 20% increase in the quantity of bagels demanded, then the price elasticity of demand of bagels is 0.2. Price elasticity of supply is c..
In The Case of the Unequal Opportunity, the companys workplace equity policy is clear. In your opinion, which paradigm does the company use to manage diversity
Upjohn Company purchased new packaging equipment with an estimated useful life of five years. The cost of the equipment was $35,000 and the salvage value was estimated to be $5,000 at the end of year 5. Straight-line method. Double-declining-balance ..
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