Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
The economy of Macroland has a balanced budget with fixed government expenditures G = 150 and T = 150.
Investment is autonomous: I = 200.
The consumption function is the following: C(Yd) = 250 + 0.75 (Yd).
a) Calculate the equilibrium level of income (Y). Solve for the equilibrium level of consumption.
b) Show how to obtain the equilibrium graphically.
c) The government wants to increase the equilibrium level of output and has several options:
- Increase the government expenditure by 100.
- Decrease the taxes by 100.
- Increase the government expenditure by 100 and increase the taxes by 100 at the same time (in order to keep the budget balanced).
Calculate for each possibility the multiplier and the possible new equilibrium income. Which one would you suggest to the government? Explain your answer.
What is the significance of the observations made by OECD in this case study regarding “The OECD economies are more strongly dependent on the production, distribution and use of kn
Explain about the elasticity and total revenue. Elasticity and Total Revenue: a. When demand for a good is elastic, a raise in price decreases total revenue. Then Sales effe
An example of direct foreign investment is given by: a. The sale of U.S. government bonds to foreigners. b. The sale of U.S. stocks (equities) to foreigners. c. A multinational cor
You decide to buy a home for $1,000,000. You approach two banks for financing. The first requires a 10% down payment and requires monthly payments on a 20 year mortgage sufficient
Index number formulas
Economics Please Help! Assume that two power plants, Firm 1 and Firm 2, release sulfur dioxide (SO2) in a small urban community that exceeds the emissions standard. To meet the sta
Explain, using the best framework you can think of (based on our class discussion), the effect of a large federal deficit on interest rates.
Outline briefly a. How people make decisions? b. How they interact? c. How economy as a whole works? 1. Give three examples of important trade offs, th
what happened to the equilibrium price level in Japan during the early 2000s? How did Japan''s equilibrium price level adjust between the middle of 2008 and early 2010?
Deposit K4000, liquid asset k1000, loans K4000. what is current liquid asset?
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd