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Which of the following changes to fiscal stimulus package of 2009 for $862 billion (under the bill called American Recovery and Reinvestment Act of 2009) would have a larger overall impact on AD? Explain your answer in a paragraph or two with credible logics and analysis.
A) A program of tax rebates, distributed uniformly across the population of those filing tax returns, amounting to $862 billion in total rebates. Alternatively,
B) An $862 billion increase in federal government spending on repairs to highways and bridges, including other related infrastructure.
D&Z Dry Foods Distributions specializes in the whole distribution of dry goods, such as rice and dry beans. The firm's manager is concerned about an article he read in the morning's Wall Street Journal
Suppose that all other banks hold only the required amount of reserves. If Nan Bank Inc. decides to reduce its reserves to only the required amount, by how much would the economy's money supply increase?
effects of implicit variables on supply and demand. Elucidate what would happen to the price of a pair of jeans if the following happened.
Disclose what the book suggests once the short-term rate is much cheaper than the long-term in interest rate. Substantiate whether or not that is a normal occurrence or a cause for alarm.
Suppose elasticity is -2,price is $10, and marginal cost is $8, should you raise or lower price?
Assume that economy starts at equilibrium and the mpc= 0.75. Determine what would be the effect of a $300 increase in government spending once all the rounds of the multiplier process are complete?
Suppose that the demand function is given by x=P^-n, and the supply function by y= p^e. Determine the equilibrium price. Determine the effect on the equilibrium price of the introduction of a tax t=0.1
Based on the newspaper government spending in the US is expected to rise through $30 billion next year. One of the senators of your state is touting how this increase in spending will lead to an rise in employment and aggregate output.
Explain the antitrust laws in the US stricter also more comprehensive compared to those of other industrialized country.
The similar same set of price quantity combinations are utilized to compute the price elasticity of demand
What will be the effect of this change in policy on both the real and the nominal interest rate in the long - run?
Assume you want to begin a business in an area in which a natural disaster has recently occurred. How would you decide which kind of business to start.
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