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When inflation occurs some economic agents gain and some lose. Who would gain and lose if deflation occurs? Why? What will happen to interest rates and investment according to Keynesian and Classical/ Monetarist theories? Is inflation still a possible threat? What could cause a rise in inflation? Suggest some possible scenarios.
A group living in the United States in 2004 consisted of fifteen households with no elderly members. There were five single individuals living separately from each other (less than 65 years old). Their incomes were $7,000, $7,500, $8,000, $9,000, and..
Why and under what situation should a company continue to operate when getting negative economic profits
Suppose the economy is experiencing a recession and high unemployment. What would be the interpretation of how an expansionary monetary policy would address this problem?
You are told that the present worth of an increasing geometric gradient is $88,146. If the cash flow in year 1 is $25,000 and the gradient increase is 18% per year, what is the value of n? The interest rate is 10%per year.
Assume capital depreciates at 10 percent a year. Economy A has 1.000 units of capital while Economy B has 2,000 units of capital. Illustrate what must Gross Investments be in Each Economy to keep capital stocks Constant.
"Since the statistical discrepancy in the U.S. balance-of-payment accounts is so large, we cannot rely on the U.S. BOP statement to give information on the size of various 'balances' with any precision. Perhaps the U.S. BOP statement is essentially u..
Assume that the distribution of starting salaries for newly qualified CA. Find out the probability that the std error.
Now, assume that a company comes to town and buys the entire sell Coca-Cola, creating a monopoly on Coca-cola. Assume that the cost curves for the new firm are the same as the perfectly competitive firm. in the new market, Coca-cola sells for 10.75, ..
The time needed to complete an exam is normally distributed with (M,O^2) If 2.28% of the class can expect to complete the exam within an hour or less, and if 6.68% of the class need more than an hour and 35 minutes to complete the same exam, then wha..
There are 2 fishermen, Zach and Jacob, who fish along a certain coast. Both would benefit if lighthouses were built along the coast where they fish. The marginal cost of building each additional lighthouse is $25. The demand curves for lighthouses ar..
The going aircraft corportation is manually producing a certain subassembly at a direct labor cost of $100,000 per year. Annual maintenance for the automated system will be $10,000, and its market (salvage) value will be $7000 at any time in the futu..
How do average variable cost, average fixed cost, and marginal cost vary as production levels for a firm are increased? are short term costs linked to just one input factor as a variable, with all other factors held constant as production increases?
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