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Which of the following shifts the short-run aggregate supply to the right?
a. an increase in the minimum wage
b. an increase in immigration from abroad
c. an increase in the price of oil
d. an increase in the actual price level
Does the nominal interest rate adjust more than one-for-one or less than one for one to expected inflation.
Estimate the strength of your bargaining position for each option. Which of these would be the most advantageous.
Suppose the point of tangency that characterizes long-run equilibrium for a monopolistically competitive firm occurs at Q1 units of output.
We manufacturer automobiles given the production function q = 5KL where q is the number of autos assembled per eight-hour shift, K is the number of robots used on the assembly line (capital) and L is the number of workers hired per hour (labor). If w..
Explain why do national income accountants compare the marker value of the total outputs in various years rather than actual physical volumes of production.
a smaller multiplier means that change in government purchases of goods and services, government transfers, or taxes necessary to close an inflationary or recessionary gap is larger. How can you explain this apparent inconsistency.
Rather than the short run effects of decreasing government spending, allow a self correcting economy to bring the model back to equilibrium, the government decides to act to eliminate the output gap through monetary policy. Explain how the government..
In a two firm market, let the total cost of producing a product be 2Qi, the inverse market demand be given by the function P = 20 - Q and the market quantity be equal to Q = Q1+Q2. Assume firms compete in quantities, what is the quantity for firm 1 t..
The People's Bank of China, the country's central bank, raised the reserve requirements of its top commercial banks to put a squeeze on the credit market
Illustrate what established the permanent membership number in the House of Representatives.
When external costs are present
Assume that health production is subject to diminishing returns and that each unit of health care employed entails a constant rate of iatrogenic (medically caused) disease. Would product of health function eventually bend downward
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