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When the Fed buys bonds to increase the money supply this (increase or decrease) the Federal funds rate which causes price or interest rates to (increase or decrease). This would also (increase or decrease) aggregate demand
James is a 35-year-old economic consultant who eagerly anticipates the day he will retire from his job and move to a lovely, but expensive, vacation spot, complete with beachfront property and a yacht. James gets income from labor income and investme..
The demand curve for a product is given by P = 400 - 1Q/3. What is the own price elasticity of demand when price is $100? Is demand elastic or inelastic at this price? What would happen to the firm’s revenue if it decided to charge a price above $100..
Discuss some of the factors Autor identifies as having contributed to an increase in the demand for highly-educated workers and a decrease in the demand for less-educated workers.
explain the role of chinas administered exchange rate in contributing to its trade surpluses and therefore growth in
1. Define Efficiency Pareto optimality. One issue that economists have is that in a sense people's preferences can change over time. Some of this may involve neurologicalbiological changes which economics hasn't dealt much with. But lots of the cha..
Others meter water use and charge according to the quantity of water customers use. Compare the way the two systems would affect the cost of water use at the margin and the use of water by rational consumers.
A British pharmaceutical company spent several years and considerable funds on the development of a treatment for HIV patients. Now, with the protection afforded by patent rights, the company has the potential to reap enormous gains.
Fxed and variable costs of renting a car for a week at Chicago's O'Hare Airport - How much are the ?xed and variable costs of renting a car for a week at Chicago's O'Hare Airport?
Determine the average inflation rate for this commodity over this two-year period. The CPI for 1995 was 152.4 and for 2010 it was 218.1. What was the average general inflation rate during these years? To calculate the NPW (at year 0) of N annual cash..
Also suppose that the actual professional staff hours charged to clients' accounts and the actual overhead costs turn out to be exactly as estimated in both years. By how much would the overhead be underapplied or overapplied in 2008 and in 2009? (Le..
Evaluate the role and the effectiveness of the Federal Reserve in stabilizing the current economy.
Suppose men receive $11.20 per our and women receive $8.00 per hour. Moreover, suppose the firms use 81 female person hours and 64 male person hours to produce 144 units of output and the marginal product of labor for men is 27 while the marginal pro..
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