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Prepare a 2-3 page analysis by answering the questions below. Be sure to cite your references using APA format.
Assume that the Bank of Ecoville has the following balance sheet and the Fed has a 10% reserve requirement in place:
Balance Sheet for Ecoville International Bank
ASSETS
LIABILITIES
Cash
$33,000
Demand Deposits
$99,000
Loans
66,000
Required:
Now assume that the Fed lowers the reserve requirement to 8%.
Suppose economists observe that an increase in government spending of $10 billion raises the total demand for goods and services by $30 billion. 1. If these economists ignore the possibility of crowding out, what would they estimate the marginal p..
How important were price considerations in making your college decision? Would a change of a few thousand dollars have mattered and would you expect the price elasticity of demand to be higher for financial-aid students or for non-aid students?
What shape did the short-run aggregate supply curve have during the 1930s, according to Keynes? Explain
the world cup and its economic effect. this essay will talk about the 2014 world cup and about the advantages and
A recent study found that an increase in the Federal tax on beer (and thus an increase in the price of beer) would reduce the demand for marijuana. We can conclude that:
medical schools and hospitals are heavily involved in the training of new physicians. after prospective new physicians
Suppose that Densa Inc. falls 10 percent short of producing the profit maximizing output. Would a higher product price lead to greater output Would an increase in input prices lead to a reduction in output
a local hardware store is trying to decide whether to stay open. they have found that their industry is extremely
Consider a Bertrand model in which the above firms choose prices to post P_A and P_B simultaneously. Since the goods are identical, consumers will go to the firm with the cheaper price.
suppose there are two firms in a market who each simultaneously choose a quantity. firm 1s quantity is q1 and firm 2s
Inflation Targeting
How does transportation cost affect the prices a firm charges at home and abroad such that dumping occurs even though consumers in both markets pay the same price for the homogeneous good?
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