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The inflation-reduction episode of the early 1980s was an example of an
A) unexpected inflation reduction fiscal policy by Congress.
B) unexpected inflation reduction by the Fed.
C) unexpected inflation reduction by the Fed combined with an expected inflation reduction fiscal policy by Congress.
D) expected inflation reduction fiscal policy by Congress.
E) expected inflation reduction by the Fed.
For lunch, Ada prefers to eat soup and bread in fixed proportions. When she eats X pints of soup, she prefers to eat 2X ounces of bread. If she has X pints of soup and more than 2X ounces of bread, she eats all the soup along with 2X ounces of bread ..
Think of a strategy pursued by the company your work for, another company, or even a sports team. How can game theory help improve the outcomes for the decision makers? Explain whether simultaneous-move, repeated-move, or sequential-move games are mo..
Suppose that one firm is the only employer of a certain labor service (i.e., the firm is a monopsonist). Assume its MRPL is given by L= 11 - w and the labor supply is L = W. What is the wage paid and the number of labor hours hired by the profit maxi..
Which counts in the government spending category of GDP?
Compute real GDP per person for this nation in 2001, in 2000 euros per person. Round your answer to the nearest euro.
Which of the following is NOT true regarding top-down budgeting?
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..
You sell consumer products in the Americas. The price sensitivity of South American consumers seems greater than for those in North America. An economic consulting firm has estimated the own-price elasticity for your most profitable product is -1.25 ..
Economic theory offers ______ about the full range of possible events and responses, which can prevent _______ about how households will respond to changes in prices or incomes.
A company currently pays a dividend of $2 per share (D=$2). It is estimated that the company’s dividend will grow at a rate of 20% per year for t the next 2 years, then at a constant rate of 7% thereafter. The company’s stock has a beta of 1.2, the r..
A bus ticket between two cities cost $150 and the trip will take 25 hours, whereas an airplane ticket costs $450 and takes 5 hours. Kathy values her time at $12 per hour, and Rachel values her time at $18 per hour. Will Kathy take the bus or the plan..
You are the Economist of the office of Community Development at UCLA. In 2015, you implemented a program of entrepeneurship in LA. Your design was such that the western region was offered that program, while the eastern region was not. Compute the ch..
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