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Suppose that the economy starts at equilibrium and the mpc = 0.8. What would be the effect of a $300 increase in taxes once all the rounds of the multiplier process are complete?
Assume that you have drawn a total product curve for labor given a specific technology. Now let some sort of technological change increase the productivity of labor.
imagine the world contains only two nations and that one of them is experiencing capital flight. In the diagram, below trace out the effect of this capital flight on the other nation. Indicate whether the real interest rate.
Explain why the marginal revenue curve for a monopolist lies below its demand curve, rather than coinciding with the demand curve , as is the case for a perfectly competitive firm. Is it ever possible for monopolist's marginal revenue curve to coi..
Suppose a profit-maximizing monopolist is producing 800 unitsof output and is charging a price of $70 per unit.
Organization where the market demand is given by QD = 1,500 - 40P, in the long-run equilibrium there will how many firms.
A survey show an increase in drug use by young people. In the ensuing debate, two hypotheses are proposed: Reduced police efforts have increased the availability of drugs on the street. Cutbacks in educationefforts have decreased awareness of the dan..
What do you regard as the main weaknesses of the Ricardian or Classical model as an explanation of the trade patterns? Why do you regard them as weaknesses?
(a) What is market concentration and how can you know whether a market is concentrated or not (b) What are the causes of market concentration (c) Are business mergers good or bad for the economy Explain why
Suppose the following information for a country: total population, 500; population under 16 years of age are institutionalized, 120; not in labor force, 150; unemployed, 23, part-time workers looking for full time jobs.
consider a man with 16 years of education and 2 years of experience who is from a western state. Use the result and the method in key to estimate the expected change in the logarithm of average hourly earnings (AHE) associated with an additional y..
Given the supply curve from part a. the price of a Picasso Blue Period work will be entirely dependent on what factor(s)? Draw a diagram showing how the equilibrium price of such a work is determined.Why is this supply curve different from ones you..
A monopolist has a constant marginal also average price. Compute the monopolist's profit maximizing quantity, price also profit.
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