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Q. Tax cut under fixed as well as flexible exchange rates
1) What is the impact of a tax cut in an economy operating under a flexible exchange rate regime on household spending, interest rates, investment spending, the current as well as capital accounts as well as the exchange rate. How will the central bank respond if it is targeting inflation? Will the central bank response offset or reinforce the impacts of the tax cut?
2) What is the impact of a tax cut in an economy operating under a fixed exchange rate regime on household spending, interest rates, investment spending, the current as well as capital accounts as well as the exchange rate. How will the central bank respond in order to maintain the fixed exchange rate? Will the central bank response offset or reinforce the impacts of the tax cut?
A firm is currently operating where the MC of the last unit produced is $64, and the MR of this unit is $70. Illustrate what would you advise this firm to do.
Compute the equilibrium level of income. Illustrate what is the level of consumption at the equilibrium level of income.
Would the monopolist charge a higher price in market 1 or in market 2? Why? Assume the price charged in market 2 was $10, what would be the price charged in market 1?
Considering the five (5) forces of competition, choose the two (2) that you estimate are the most significant for the corporation you chose. Evaluate how well the company has addressed these two (2) forces in the recent past.
Presently, boats rent for $500 per day also workers cost $100 per day. How many workers do you need to produce 200 tons of shrimp?
At what level must be a ceiling price imposed upon the monopolist's market to cause the monopolist to supply the efficient quantity supplied?
Is the price mechanism of a perfectly competitive market a good mechanism to allocate gasoline.
Draw the PPFs for A and B when they work for 4 hours. What if the OC of shirt for A? What is the OC of shirt for B? What is the OC of cake for B? Who will export shirts? Why?
Determine the cost to the government of buying firms unsold units
q1. since 1981 the monetary authority of singapore mas has centered its monetary policy on the management of exchange
As per to the rule for optimal input usage, a firm should hire a person as long as her marginal revenue product is greater than her marginal cost to the company. Elucidate is a company violating the optimality rule.
The government has decided to reduce the pollution also from now on will require a pollution permit for each ton of pollution emitted.
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