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Assume that the banking system has total reserves of $200 billion. Assume also that the reserve ratio is 40 percent and that there is no currency in this economy.
a. What is the money multiplier? What is the money supply?
write a paper explaining my assessment of the current aggregate demand and aggregate suppy curves; my prediction and prescription for the near future.
How were slaves involved in the New England economy in the 17th and 18th centuries and biotech is just one of several up and coming industries in Massachusetts. Give some reasons that Biotech has clustered here and what are some other industries t..
Find the capitalized cost of a present cost of $330,273, annual costs of $41,182, and periodic costs every 5 years of $75,087. Use an interest rate of 10% per year.
What output level does the paint company choose? 2. What is the socially optimal level of output? 3. Describe a possible Coasian solution to the externality problem. 4. What corrective tax could the government set to achieve the socially optimal leve..
The marginal revenue curve of a monopoly crosses its marginal cost curve at $30 per unit and an output of 2 million units. The price that consumers are willing and able to pay for this outputis $40 per unit. If it priduces this output, the firms a..
Discuss how monetary policy works to help achieve economic goals and discuss how national economies interact with each other to achieve their individual economic goals. (This is a question about foreign trade
Assume you are an aid to a government official deciding on some recently proposed excise tax on the welfare of her constituents.
Pat and Kris are roommates. They spend most of their time studying (of course), but some time for their favorite activities: making pizza and brewing root beer. Pat takes 4 hours to brew a gallon of root beer and 2 hours to make a pizza.
Choose a product you have purchased in the past month from a clothing or shoe store. Describe how each of the 4 factors contributed to the elasticity of the good. Is the product considered elastic, inelastic, or unitary elastic
Find two articles about a macroeconomic problem currently in the news from either a newspaper or news magazine.
1) Suppose the average variable cost equation for a competitive firm is given by: AVC=10 - 2Q + 0.5Q2 a)At what output is AVC at a minimum b) If the market price of the firm's output is $7 per unit, should the firm produce or shut down
Assume that the federal government increases spending on public works programs, such as highway construction, by $40 billion. How does this change in spending affect the aggregate demand curve? Explain why the shift may be higher or lower than the or..
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