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Q. This problem uses the Solow model to analyze the e?ects of immigration. Suppose that the economy is initiallyin steady state.1. Suppose that there is a one-time increasein labor force from immigration, but n (the population growth rate) remains constant. Analyze the short-run and long-run effects of this change for the levels of per-capita output, and the growth rates of (total) output and per-capita output.
2. Suppose that immigration is a continuing process so that n increases to a higher value n>n ˜ . Analyze the short-run and long-run e?ects of this change for the levels of per-capita output, and the growth rates of (total) output and per-capita output. Consider the Solow model. Suppose an economy begins in steady state and is characterized by the following parameter values: s = 0.2, d = 0.1, z = 1, N = 100, n = 0 and with the production function Y = zK^1/3N^2/3 Calculate the growth rate of per capita GDPin period immediately following each of the changes listed below:1. The investment rate doubles.2. The productivity level rises by 10%3. An earthquake destroys 75% of the capital stock
One day you realize you're tired of smelling like refried beans all the time and begin thinking about starting your own business. After doing some investigation you decide to spend 15 hours per week running a photocopy service in your dorm.
The People's Bank of China, the country's central bank, raised the reserve requirements of its top commercial banks to put a squeeze on the credit market
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Firms raise capital from investors by issuing shares in the primary markets
The consumer is indifferent between B and a lottery ticket with probabilities. Construct a set of von Neumann - Morgenstern utility numbers for the four situations.
Under oligopoly, if one firm in an industry significantly increases advertising expenditures in order to capture a greater market share, it is most likely that other firms in that industry.
Advertising is powerfull strategy to make people aware about company products and services and for this case is to emphasize reliability and low price, this effort will help the company to sustain in this area and to develop a customer franchise a..
Government encourage a decision to expand? How would it affect the reputation of the business?
Show how each of the following would initially affect a bank's assets and liabilities.
The biggest difference between Microsoft and software retailers is the market structure in which they operate.
Suppose she is offered a new job that would pay her $15,000 and would bring her earnings high enough so that she no longer qualified for any welfare benefits.
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