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Zoltan Novak, and Paul smith both residents of the country of EAST Paragon are discussing whether the economy is operating at full employment. Zoltan, a market analyst argues that with unemployment at 5.3%, the economy cannot possibly be fully utilizing all its resources. Paul, who is a journalist, disagree based on a recent newspaper article that shows industrial production in East Paragon is at its highest level. This, he claims, is likely to indicate that the economy is operating at full employment. Which of the following, if true, would support Zoltan's claim? A. Compared to other countries in the worlds, East Paragon has high levels of domestic consumption. B. The number of new orders placed for investment goods ros 2.3 % more than last year. C.Due to an abundant supply of labor in East Paragon, exports of manufactured goods have increased significantly. D. Due to its business-friendly tax system and investment policies, East Paragon attracts high level of foreign direct investment. E. The natural rate of unemployment in East Paragon is estimated to be 1%.
Suppose there is a policy debate regarding the United States’ imposing trade restrictions on imported semiconductors: A senator from a state with several semiconductor factories argues that the government should impose a tariff on semiconductors beca..
Illustrate what is the present macroeconomic situation (e.g. worrying about inflation also/or recession) in the U.S.
Show analytically that equilibrium price under Cournot is greater than price under perfect competition but lower than monopoly price.
You win the $20 million state lottery, and you have a choice of taking an amount of money per year for the next 20 years or a flat payment now. The flat payment that the state offers you is $9.82 million. What discount rate is the state using?
Suppose that a consumer’s demand for a product is given by P = 80-2Q. A monopolist produces the product at constant marginal cost, where MC = $6. The firm has no fixed costs. What value of T and P should the firm choose if it wants to maximize its pr..
Suppose that consumers become more pessimistic about future income and lower their autonomous consumption. With no government response, this would ___________ short-run output. If the Fed wanted to counteract this change, it should __________ the Fed..
What is each project’s IRR? If each project’s cost of capital were 10%, which project, if either, should be selected? If the cost of capital were 17%, what would be the proper choice? What is each project’s MIRR at the cost of capital of 10%? At 17%?..
question 1. pick a country and talk about the products they import and export with the u.s.a. also talk about the
New York Food Vendors Food trucks have become increasingly popular in New York City. However, the Department of Health limits the number of permits that they issue at one time. As a result, the estimated value of a permit is $15,000 for two years, wh..
Elucidate the inelasticity of agricultural products in general then compare which to the elasticity of a single food item such as a filet minion.
Suppose the government in a very small country charges tax on some kind of food and has collected tax revenue based on that. Under the pressure of vigorous protest, it declares to return all the tax collected to the buyers and sellers of this food ba..
Given the current condition of the US economy, do you think US policy makers would prefer to see the $ rise in value, decline in value or stay at its current value? Discuss the advantages and disadvantages to the US economy at this time of a stronger..
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