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1. What is the basic objective of monetary policy? What are the major strengths of monetary policy? Why is monetary policy easier to conduct than fiscal policy in a highly divided national political environment?
2. Distinguish between the Federal funds rate and the prime interest rate. Why is one higher than the other? Why do changes in the two rates closely track one another?
The licensing restrictions allow each company to sell as much as it wants at a price ceiling of $2,200. You have the following output and MC data for each company: Output MC ($) Q Abba Babba Cabba 1,000 2,500 2,600 2,700 2,000 2,400 2,300 2,500 3,..
Suppose that the marginal product of the last worker employed by the Delicious Ice Cream Company is 300 units of output per day and the daily wage that the firm must pay is $50, while the marginal product of the last ice cream machine
Describe major differences in evaluating internal controls over financial reporting in a financial statements audit and auditing internal controls over financial reporting as a separate engagement.
A factory benefits from discharging effluent, q, into a lake. The marginal benefit function is given by 60-2q. The pollution causes damages to two nearby communities. The marginal damages to Community A are 1q. The marginal damages to community B ..
What factors might make either of the two simple models, the excise tax on rentals or the tax on capital, less likely to predict the distribution of the tax burden in the real world?
An economy consists of two regions, the North and the South. The short-run elasticity of labor demand in each region is -0.5. Labor supply is perfectly inelastic within both regions. The labor market is initially in an economywide equilibrium
The object of this exercise is to play as much as possible with comparisons. I don't care how far you have to stretch the comparison; as long as there is any kind of connection, it's great. Just let yourself play.
One unit of object is going to be sold via auction. There are two bidders, A and B. Their willingness to pay are known to be either of 10,20,30,40,50 and bids are also restricted to those values.
claimed that if z+x/y, then g(z) = g(x)-g(y), where g(.) represent the growth rate of the variable in question. Prove this result in a formal way using two methods. First, repeat the method that we used in class to prove that if z = xy, then g(z)=g..
Would a Policy Rule Have Prevented the Housing Boom?
Assume that biomass production generates net power per unit area of 0.5 W/m2 and that your consumption of energy is 240 kWh/day. How many square meters of land would it require to provide your annual energy consumption Use the economics underly..
.What are the equlibrium quantities (q1, q2 %u2026 ,q10)?. A-q1, q2 %u2026 ,q10 = 2B-q1, q2, %u2026 ,q9= 2 q10=1/2c-q1, q2, %u2026 ,q9= 3/2 q10=1/2d-q1, q2, %u2026 ,q9, q10= 3/2e- q1, q2, %u2026 ,q9= 3/4 q10=1/2f-q1, q2, %u2026 ,q9= 3 q10=1/2g-non..
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