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Q. 1. What change in the Federal funds rate would you recommend?2. How would your recommended change get accomplished?3. What impact would the actions have on the lending ability of the banking system, the real interest rate, investment spending, aggregate demand, and inflation?4. Suppose there is an increase in AD (shifting out of aggregate demand due to increase in government expenditure as part of the stimulus project from the government):5.How is this shifting of AD curve going to affect the price level and output level of the economy?6.What would be the effect on the demand of money?
How can managers deal with these problems? If a US corporate headquarters asks a manager to offer kickbacks or other bribes, what are the options?
In the short run, a firm's total costs of producing 100 units of output equal $10,000. If it produces one more unit, its total costs will increase to $10,150. Illustrate what is marginal cost of the 101st unit of output.
Compute equilibrium price also quantity. Illustrate what would have occured if price had remained the same
Compare your answers to part d of problem 2 with those of part a of this problem also elucidate why they are different
Based on costs and revenues above, which should you do. Elucidate and show any relevant calculations.
Find out the contingent demand function for labor and capital and the corresponding total cost function. Find the long-run average cost and the long-run marginal cost of both inputs.
Which of the following is NOT a shortcoming of the civilian unemployment rate reported by Statistics Canada every month.
one of your econ classmates is puzzled by how the wealth effect is a reason for not only the downward sloping nature of aggregate demand (AD) schedule, but also for shifts in the AD curve. Briefly offer an ezplaination that can resolve that dilems..
Give an example of how nations can benefit from trade on the basis of comparative advantage. Explain how both parties can share in the gains from trade.
The market interest rate increases to 10%. IN the afternoon at what price would your bond sell in the secondary market.
Elucidate how much the money supply will increase in response to a new cash deposit of $500 by completing the accompanying table.
According to the production function, with 300 labor hours, illustrate what is this economy's capacity to produce
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