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Mark as true or false in each case
Real GDP, the rate of inflation, and the rate of unemployment are THREE primary indicators of the state of the macroeconomy?
The government influences the macroeconomy through its level of spending, taxes, and control of the money supply?
The demand for flash drives is qd=100-p+ln(m),where p is the price of a drive and m is income. a. Find the elasticity of demand for flash drives when p=2 and m=500. Now find the elasticity of demand for flash drives when p=3 and m=500.
Near new car is expected to earn an economic profit of $20,000 each year for the next years. the discount rate is 10 percent. Assume profits are received at the end of the year.
What is the difference between gross private domestic in- vestment and net private domestic investment If you were to determine net domestic product (NDP) through the ex- penditures approach, which of these two measures of investment spending woul..
What is the Consumer Price Index and how has the CPI behaved since the year 2000? What have been the causes of these changes? In your response, include a graph of the CPI for this period and cite your source.
What happens when there is a surplus of imports brought into the U.S.? Cite a specific example of a product with an import surplus, and the impact that has on the U.S. businesses and consumers involved.
Draw up a payoff matrix to illustrate your strategy and what are the likely implications of this for consumers
Growth of India and China - China and India are often referred to as two of the fastest growing countries. Compare their recent growth rates to the U.S. growth rate.
In a context of perfect capital mobility, consider a simplified small open economy (for this economy we consider foreign GDP (YF), foreign price level (PF), and the interest rate on international financial markets (rF) as exogenous), modeled with the..
You just opened a flower shop and are trying to understand pricing issues. You were told that elasticities are very important in determining prices and what products to supply, so you decide to investigate this concept.
The FCC has hired you as a consultant to design an auction to sell wireless spectrum rights. The FCC indicates that its goal of using auctions to sell these spectrum rights is to generate revenue. Since most bidders are large telecommunications co..
How does a firm decide when to produce internally or incur external transaction costs? Describe a situation for both, and be sure to include costs and advantages for each.
What is the equation for the average variable cost and what is the minimum level of average variable costs'?
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