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Markets are a very good way to organize economic activity in our economy. Why do we classify price floors and ceilings as a type of market failure and why does the government need to get involved in these types of markets?
What is the equilibrium level of income and derive the savings function and find the level of savings in this economy
When Nick and his co-workers refused to accept pay cuts, his employer outsourced their programming tasks to workers in another country. This phenomenon is occurring throughout the programming industry.
Explain what it meant by liquidity trap.Use the interest parity condition to show how the exchange rate is determined in such a situation. What can monetary policy so in such a situation
Is it possible for the gross federal debt to rise in dollar terms but decline as a percentage of GDP? Explain your answer.
Kawmin then opens the market to trade. Draw another graph to describe the new situation in the jelly bean market.Calculate the equilibrium price, quantities of consumption and production, imports, consumer surplus, producer surplus, and total surpl..
How much profit does an individual producer make in a month? Is this a long-run equilibrium? If the answer is yes, simply state that it is a long-run equilibrium. If the answer is no, explain whether or not the equilibrium price will rise or fa..
Assume that, over time, engineers develop new residential furnaces that can run on different tpes of fuels, e.g., natural gas, electricity, propane, and fuel oil, simply by flipping a switch on the furnace.
Explain how does the reserve ratio set by the Federal Reserve affect the ability of banks to make loans. Name the tools of the federal Reserve Bank. Which is most important?
The following is a list of figures for a given year in billions of dollars. Calculate the GDP and NI.
Under which scenario, rising interest rates or falling interest rates, would a bond investor be most likely to exercise a put option on a bond? Explain.
Colin faiths that the number of job offers he will get depends on the number of courses. He concludes from observation that the following figures are typical.
Explain how would the number of workers hired (variable input) change. This is a profit maximizing firm, also explain the profit maximization condition the firm uses.
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