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What is the meaning of a surplus or deficit on the a) merchandise trade balance, b) goods and services balance, and c) current account balance?
Suppose the employees of Starbucks in China are paid 8 yuan per hour and a cup of coffee is priced at 8 Yuan. If Starbucks is maximising its profit, What is the value of marginal product of labour (VMPL) per hour of the last worker employed by Starbu..
The owner of Torpid Oaks B&B wanted to know the average distance its guests had traveled. A random sample of 16 guests showed a mean distance of 85 miles with a standard deviation of 32 miles. The 90 percent confidence interval (in miles) for the mea..
Suppose that a restaurant offering Ethiopian cuisine opened in a well diversed city. and became a great success. What would you predict would happen in the restaurant market for that city? Draw a graph illustrating the likely changes in the shape and..
Different market structures are prevailing in ourdifferent sectors like agriculture, power supply, transport industry, cement industry,restaurants, etc. Analyze and compare the characteristics of all marketstructure with respect to the given secto..
What does the term "INTEREST RATE INVERSION" refer to? For the past several years, the Federal Reserve System has forced short-term interest rates to nearly zero. Why has it not been able to do the same for long-term interest rates? Explain
Consider two labor markets, A and B. Wages in labor market A rise. This could be due to
Describe the cost function and explain the difference between a short-run and a long-run cost function. Describe the elements of a cost schedule which can be derived total, fixed, and variable costs. Compare and contrast the short-run cost function a..
If the USA experiences an economic boom relative to its trading partners, then: If China , a key trading partner of the USA, expericnes a recession, then. Suppose the Government of the USA decided to increases it's spending over next one year. How wi..
Assume that there are 100 identical firms that would be willing to sell 10 units each of the same good if the market price were $5 per unit. Draw a graph of the aggregate supply curve. Indicate on your aggregate supply curve the quantities supplied a..
The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled
Some business owners make a statement something to the effect, "We're too busy to bother with strategy. We have to take care of the present." What might be wrong with their reasoning?
A change in any of the following factors except shifts the aggregate demand curve.
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