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The differnce between the nominal and real exchange rates is that: a) nominal rates are temporary, while real rates are permanent b) the real exchange rate is the actual rate used by traders c) the real rate takes relative purchasing power into account, while the nominal rate doesn't d) the nominal rate is approximate, while the real rate is precise
How many people should the owner hire if he pays each worker $6/hour? c. Suppose he considers hiring students on a part-time basis for $4/hour.
There is a firm with technology that can be described by the production function y = 4z1^1/2 + 2z2^1/2 with output price p = 6 and input prices w1 = 2 and w2 = 6. Now assume that the firm is making long-run decisions and can choose input 1 (z1) and i..
Suppose that long term interest rates in the economy were increasing due to strong economic growth and demand for loans in the world economy. Meanwhile suppose that the Fed was holding down its federal funds rate target. What would probably be happen..
Suppose that Best National Bank currently has $100,000 in demand deposits and $70,000 in outstanding loans. The Federal Reserve has set the reserve requirement at 20%.
If the firm produces 60 units of output, what are profits or losses for this firm? Is the firm maximizing profits producing Q=60? If not, what is the profit maximizing level of output produced? What are maximum profits?
What is a “natural monopoly”? Why is it the case that the market system cannot deliver a sustainable competitive equilibrium in the case of a “natural monopoly”. What, in your view is likely to be the most attractive option for how the government sho..
In the market for foreign-currency exchange in the open-economy macroeconomic model, which of the following does the amount of net capital outflow represent?
If the nominal interest rate in Japan remains unchanged, what happens to the interest rate paid on Korean deposits.
Supposed that you represent the shareholder board of Apple Inc. and decide to elicit high CEO effort to help the company: What will be your incentive contract plan (e.g. bonus, stock option…etc.)?
Using the Lagrangean multiplier approach calculate the optimal (i.e., service maximizing) combination of medical and social staff. Determine the optimal amount of service provided by BF.
Explain how specifically can GDP be adjusted to better measure well-being.
in march 2010 hertz pain relievers bought a message machine that provided a return of 8 percent. it was financed by
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