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Q. Suppose that the world consists of only two countries, A and B, of relatively equal sizes. The world interest rate in such a model is some average of the autarkic (no trade) interest rates in each of the two countries.a. Draw "parallel" loan able funds markets for the two countries and show the position of the world interest rate. b. Suppose country A enacts laws that induce people to save more. Show the effects of such laws on each country's domestic amounts saved and invested. c. In the currency-exchange diagrams for both countries, show the effect of country A's savings policies on both countries' exchange rates and net exports. Compare the effects of an aggregate-demand-induced recession with an aggregate-supply-induced recession. How would you recognize that a recession is induced by demand or supply? What policies would be appropriate in the first case and what in the second?
Why might a money lender who relies on threat of cutting off future credit to enforce repayment of current loans be less willing to make a loan to an individual that plans to invest money productively.
What is the value of net domestic product (NDP)? What is the value of national income (NI).
Illustrate what is the maximum profit. Suppose that the fixed cost rises to $200,000. How would this affect the profit-maximizing price.
How many units of labor should be employed? b. How many units of capital should be employed? c. What would be the total cost of production?
Which of the policies is/are a monetary? - Which of the policies is/are fiscal? - What are the differences between monetary policies and fiscal policies?
how does corporate sponsorship affect the demand for the sponsor's product? why have so many companies purchased naming rights rather than purchase time to broadcast commercials during football bowl games ?
Explain how might you make profits by purchases or sales of bonds now,with the intention to sell in a few months' time.
A few years ago, a construction manager earning $70,000/ year working for a regional home builder decided to open his own home building company.
Is there any range of production characterized by scale of economies. At Illustrate what production level are scale economies exhausted.
q.male and female turtles may experience different serum cholesterol concentrations in their blood. provide an
Assume he takes welfare and does not work. Illustrate what is his reservation wage. He will not lose his welfare if he works.4. Suppose he is working and receives no welfare.
Which economic decision makers conclude the provider of labor. Illustrate what is their goal also illustrate what decision criteria do they utilize in trying to reach which goal.
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