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gary becker's criticism of government spending on infrastructure as part of president Obama's stimulus plan was that A) spending on infrastructure would not increase production in the economy. B)there is a conflict between where spending on infrastructure would benefit employment and where infrastructure is most needed. C) government spending on infrastructure is less effective in increasing production than an equal amount of private spending on infrastructure. D) government spending on infrastructure only increases demand, but tax cuts increase demand and supply.
Explain what happens to the primary deficit in year t if the nominal interest rate in year t increases to 17%.
The economies of two countries, Thrifty and Profligate, have the same production functions and depreciation rates. There is no population growth or technological progress in either country. The economies of each country can be described by the Sol..
Find the first order conditions and find the asset demand function for a when utility takes the log form, as in 1B above.
Compute the pre-merger HHI measures for each market. How would a merger affect the market's HHI?
When the price of X is $1 and the price of Y is $1 and income is I, Joe Panther spends $100 on good X. How many units of goods X and Y does Joe purchase before the price increase and finding the $100.
Draw the diagram showing the cost structure of price taker and a market price well above minimum average cost. Given that any firm is price taker, how can a firm capture any economic rent (profits in excess of opportunity cost of capital)?
Boston based gas station owner set highest gasoline values in the country. During that summer, he charged $1.69 per gallon for unleaded gas during the daytime and $2.59 each gallon at night
In 2005, The economist reported that France's real exchange rate had increased relative to Germany's real exchange rate during the preceding two years. How can this be true if both France and Germany used the euro as their currency.
Plot a graph of GDP per capita against life expectancy for the countries shown. Does your plot con?rm the Pritchett and Summers ?nding?
A firm is making production plans for upcoming quarter, but the manager doesn't know what the price of the product will be next month. She thinks there is a 30 percent chance price will be $500 and a 70 percent chance price will be $750.
The particular index that you will compare to the Thumbtack measure is Forbes-overall . You are to include your index along with the five X variables suggested by the authors of the report of the Thumbtack survey.
The underlying trend of growth in the economy is determined by the growth in the number of workers, the growth in the savings and investment rate.
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