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Draw a graph of the supply of and demand for the Canadian dollar by the U.S. market. Diagram the effect of each of the following on exchange rates, state in words whether the effect is long, medium,or short run, and explain your reasoning.
(a) More rapid growth in Canada than in the United States.
(b) A rise in U.S. interest rates.
(c) Goods are more expensive in Canada than in the United States.
(d) A recession in the United States.
We have discussed several ways in which industries are organized. Now imagine a newly emerging industry, perhaps born on the internet. Without knowing anything else about it.
Explain how microsofts bundling of free internet browser software with its windows operating system could violate US antitrust laws, and be sure to mention which laws in particular might be violated.
Why do you suppose that the market clearing interest rates on bank savings and time deposits have been rising relative to the market clearing interest rates on bank loans?
Currently, the economy is in equilibrium at Q = 3200 (where Q = potential GDP) and P = 100. You can use monetary and fiscal policies to affect aggregate demand but you cannot affect aggregate supply in the short run.
If nominal wages and productivity increase by the same amount throughout the macroeconomy, would you expect aggregate supply to increase, decrease, or stay the same What if productivity increases more than nominal wages
An arrangement in which consumers choose their health-careservices while other institutions pay a share of the cost of thoseservices is called a(n)____ payer system a) provider fees b) insurance premiums
Calculate the equilibrium price and quantity, consumer surplus, producer surplus and total surplus under autarky (that is, when Monona has a closed carp market).
The economic value which can be created by a transaction between two people, Ed (seller) and Luis (buyer), is $50 as Ed's opportunity cost of selling is $135 and Luis' valuation of the good is $185. If each gains $25 from this transaction,
Explain the two causes of market failures. Given their definitions, could a market be affected by both types of market failures simultaneously What divergences arise between equilibrium output and efficient output when (a) negative externalities a..
A city government is considering increasing the capacity of the current waste-water treatment plant. the estimnated financial data for the project are as follows: Calculate the benefit-cost ratio for this capacity expansion project.
while bob was walking in the park he found a 100 bill. not finding the owner he decided to deposit it in his checking
A. How would this impact policymakers' ability to use policy B. What would Congress be forced to do during a recession What is the mostly likely impact of the policy
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