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Why are deposit-type intermediaries able to create money? What factors increase the amount of deposits the banking system can create with any given injection of new reserves?
1. you are a manager for a regional health system. using an estimate of the price elasticity of demand of -0.25 how
Illustrate what would be new equilibrium if re is an increase in autonomous import expenditure from 100 to 200 which result from an increase in currency exchange rate.
Suppose the government sets an effective price floor (that is, a price above equilibrium) in the market for oranges and agrees to buy all oranges that go unsold at that price. The oranges purchased by the government are discarded.
Elucidate how Elucidate how an increase in the marketplace demand elasticity affects the elasticity of the residual demand curve.
The company ises MACRS depreciation and its marginal tax rate is life of 5 years). The 10 cars were sold at the ending a MARR of 10% and using NPW, determine if this was a good investment on an after-tax basis.
If consumption and government purchases go up, what happens to GDP in the long run. Show this graphically.
You, as chairman of the Fed (congratulations), are considering whether the monetary base or the interest rate should be used as a target. What information do you need to have to make an informed decision? When would each be a good (or bad) choice?
Based upon a monthly payment, which one is a better deal on the same $9000 car? 9% interest on the full amount for 48 months, compounded monthly.
Let’s assume the demand for balloons is expressed by P=40-2Q. The supply is P=3Q. What is the equilibrium price and quantity? What is producer surplus? What is the consumer surplus?
How does our current economic growth rate compare to some of the other major countries around the world? Explain the relationship between unemployment and gross national product (GNP).
Excise tax is levied on the buyers of a good, then after the tax buyers will pay for each unit of the good.
Besides raising taxes and issuing debt, the U.S. government (Treasury Department) can also secure funds by borrowing directly from the FED. What is the potential danger of this route? What are the implications for investors and for public policy of e..
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