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Since September 2014 the euro has devalued 20% against the US dollar (from 1.3 to 1.05$/€), and then regained some value in April 2015 back to a peak of 1.15$/€. After that event, the euro has dropped again to 1.1$/€. What is the likely range of value of the EUR/USD in October 2015
What is the dollar value of the dead weightloss when output level q2 is produced? what is the total surplus wen output q2 is being produced?
Utilize an elasticity concept to elucidate each of the following observations.
Suppose past year's real GDP was $7,000 billion, this year nominal GDP is $8,820 billion, and GDP deflator for this year is 120. Determine the growth rate of real GDP? Does this demonstrate an improvement in economic welfare?
1. when the demand line is perfectly elastic there is no deadweight loss after taxation.2. firms must not operate if
Why is that a profit maximizing businessman would always raise prices when facing an inelastic demand curve, but might or might not raise prices when facing an elastic demand curve? explain and justify your answers in detail.
Intermodal transport is the use of two or more modes of transportation, in combination, to form an integrated cost effective transport chain to achieve operational efficiency while maintaining sustainability (Lowe, 2005). In Europe and North America ..
Assume that the banking system has total reserves of $200 billion. Assume also that the reserve ratio is 40 percent and that there is no currency in this economy.
Explain how are people worse off when the price level rises as fast as their incomes
In the 1990s, five firms supplied amateur color film in the United States: Kodak, Fuji, Konica, Agfa, and 3M. From a technical viewpoint, there was little difference in the quality of color film produced by these firms, yet Kodak's market share wa..
Assume Jean Splicer, an investor, buys $300,000 of shares of stock in a diversified bundle of Bio-tech company and exactly one year later sells those shares for $315,000.
Suppose the government wants to improve the living standard of entry-level workers. Two policies are being considered – an increase in the minimum wage
A "scarce" good is a good: Answer for which it is impossible to increase production any further given the available resources and technology. for which there is a shortage at the current market price.
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