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1. What determines whether a financial asset is included in the M1 money supply? Why are interest-earning checkable deposits included in M1, whereas interest-earning savings accounts and Treasury bills are not?
2. Why are banks able to maintain reserves that are only a fraction of the demand and savings deposits of their customers? Is your money safe in a bank? Why or why not?
For the next 3 questions, assume that there is a $8 per unit excise tax levied on the consumers of the product. C) What price will buyers pay after the tax is imposed D) What is the deadweight loss created by the tax E) What is the quantity of the go..
what is the law of diminishing marginal productivity? give an example from your workplace of the law of diminishing
A firm is currently producing in the elastic portion of its demand curve. What course of action do you recommend for it assuming it wants to raise revenue Continue producing at the current output level
Fronterra, created in 2001 by New Zealand lawmakers, profits some 13,000 dairymen instead of all the citizens of the nation.
What effect should each of the following have on the demand for gasoline in a competitive market? State what happens to demand. Explain your reasoning in each case and relate it to a demand determinant. (a) an increase in the number of cars (b) ..
What market structure is used to benchmark allocative efficiency and why do we use it? Illustrate and explain using a diagram
Suppose that the government increases taxes and government purchases by equal amounts. What happens to the interest rate and investment in response to this balanced-budget change Does your answer depend on the marginal propensity to consume
question 1. consider toms labor supply decision. tom can earn 15 per hour but he faces a 20 tax rate and pays 4 per
1. aggregate expenditure what are the components of aggregate expenditure? in the model developed in this chapter which
explain why the facility layout and the work system design is important? how does it impact the business and workforce?
If current output is such that marginal cost exceeds marginal benefit, should more or less resources be allocated to this product?
describe the current global economic conditions and their effect on local macroeconomic indicators for your good or
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