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Gasoline is typically less expensive in the United States than across the border in Canada but now suppose that U. S. gasoline price rises above that in Canada due to a change in taxes. How would the gasoline-purchasing behavior of a person who lives equally close to gas stations in both countries change? Answer using an indifference curve and budget line diagram.
When the exchange rate falls by more in the short run than it does in the long run when the money supply increases, it is called.
How does the Cournot model of oligopoly differ from the Stackelberg model?
What is the value of consumer surplus? What is the value of the deadweight loss created by this monopoly?
illustrate what steps would you as an auditor take to assure you have minimized the potential for audit risk making a positive evaluation of the firm's financial status when it is in fact negative.
A sum of money invested at 10% interest, compounded quarterly, will quadruple in amount in approximately how many years?
An outflow of official reserve assets would be recorded as a
Based on your answer in a and b, how can you reconcile the President's statement with economics? Can you suggest how his statement could be modified to be consistent with teh IS-LM model?
A company decides to invest in a technology that costs $50,000. The technology, which has a life of 10 years, is expected to save the company $10,000 the first year. The benefits (savings) from the technology decreases by a fixed amount, G, each year..
This might be interpreted as an upward shift in the consumption function. Elucidate how does this shift affect investment and the interest rate.
What, if anything, do you think should have been done differently with regard to the financial crisis of 2007–2009? Your response may focus on the mortgage industry, the Federal Reserve, the regulatory agencies, or a combination of the three. You may..
What research the long-run effects of entry into monopolistically competitive industries on prices, output, and profits. Explanation must be substantive.
Sketch a supply-demand graph for sunflower. Identify the price and quantity sold on the axes. Now draw a second demand curve to the left of the first. What happens to the price? What happens to the quantity sold?
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