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Some states are required to balance their budgets. Is this measure stabilizing or destabilizing? Suppose all states were committed to a balanced budget philosophy and the economy moved into a recession. What effects would this philosophy have on the size of the federal deficit?
Discuss the appropriate discretionary fiscal policy that the government should adopt, given the above situation.
Suppose the government impose a tax of $20 per unit of output on all firm in the industry. What effect doest this have on the industry supply curve. Find the new competitive price and output. What portion of the tax have been passed on to consumer..
How would the four basic markets of the macro model (Aggregate Demand and Supply, Long Run Supply, Labor, Credit or Money, Capital change) change in response to the catastrophe in japan. Most importantly, how would the lines and curves in each mar..
In recent business publications, find case study in which changes in the maco enviroment play a major role in influencing a firm's competitive strategy. Contrast this with a second case in which micro factors play a more important role.
the Candiate of your side of the group to research and present a cohesive argument to the other side.
What is the Elasticity of Demand? Is it elastic or inelastic?
1)When people must pay higher taxes on their wage earnings, it reduces their incentive to work is a positive statement. 2) We should lover taxes to encourage more work is a positive statement. 3) Economics cannot always be used to completely decide w..
A New York Times column in the fall of 2009 reported that the value of the dollar was falling, in part, because “investors who had sought shelter in the American currency’s perceived stability
Explain how an AS shock such as a sudden increase in oil prices would affect the economy first in the short run and then in the long run. Assume that the United States is initially operating at its full-employment level of output.
Can you select one positive and one negative example of events in your area, state, country or the world that might impact our life, careers or professions.
Pine Village needs some additional recreation fields. Construction will cost $225,000 and annual O&M expenses are $85,000. The city council estimates that the value of added youth leagues is about $190,000.
In a particular country in 1998, the average worker needed to work 40 hours to produce 100 units of output. In that same country in 2008, the average worker needed to work 36 hours to produce 72 units of output. In that country, the productivity o..
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