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Discussion Board Debate: "Should the Federal Reserve aim at a zero inflation policy?"
Explanation: Virtually all economists agree that high inflation rates are disruptive. Economies experiencing double-digit inflation rates tend to have lower growth rates than economies experiencing lower rates of inflation. This is due, in large part, to the increased uncertainty about future income and prices that accompanies higher inflation rates. Thus, most economists agree that inflation rates should be relatively low. There is much less consensus about whether an inflation rate of 0% is better or worse than an inflation rate of 3%.
Need Two References.
World trade has grown substantially in the last 60 years. For example, while world output grew at an annual rate of 3.8% per year between 1950 and 2003, world exports grew at 10.8% per year over the same time period. Which of the following help to ex..
What is true of disposable income?
If the number of trucks (K) decreases by 10% next year, how much will output (Q) decrease? What type of returns to scale is consistent with the above production function?
Suppose the government reduces the current tax burden of households today by sending a tax rebate by mail. Assume that the government pays for this tax rebate by borrowing today but will have to increase taxes in the future. What happens to desired p..
Each of the 10 firms in a competitive market has a cost function of c=25+q^2. The market demand function is q=120-p. Determine the equilibrium price, quantity per firm and market quantity.
If an economy experiences increasing prospect costs with respect to two goods, then the production-possibilities curve between the two goods will be.
Lauren's salary decreases from $34,000 to $30,000. She decides to reduce the number of outfits she purchases each year from 20 to 19. Use the midpoint method to calculate the income elasticity of demand for new outfits.
Is the US economy moving more toward concentration or toward competition? If it's moving toward concentration, there is a need for antitrust laws. But if it's moving more toward competition (the view of the Chicago school), do we really need antitrus..
Generally describing the business also include a plot of the Price also Quantity data that you obtained.
Use the algebraic form of the aggregate demand curve to find the level of GDP that occurs when the money supply is $900 billion and government spending is $1200 billion. Repeat all the previous calculations if government spending increased to $1300 b..
Show the effect of Business Cycle on Inflation. Show the effect of Business Cycle on unemployment. Show the relationship between employment, inflation and business cycle
Illustrate what way might society gain if Fed implements policy you have proposed instead of simply permitting long-run adjustments to take place.
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