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ref article :https://www.economist.com/news/finance-and-economics/21587795-if-congress-fails-lift-limit-americas-debts-consequences-are
a.assume that the debt ceiling crisis did not result in an agreement that the US was “ no longer able to borrow” Draw a graph of the financial market and show the impact of just this situation,what impact does that have on interest rates and private investment?
b.whatwill happen to government spending in the economy and compare that with the size of what you have explained will happen to private investment? what would happen to overall demand in the economy in the short run?
c.Further on in the article they explain that "it american defaults, lenders may refuse treasuries as collateral becoz they cannot be sure than everyone else would accept them.." draw a graph of US financial market and explain what happen to interest rates and private investment if foreign banks decided not to use treasuries a s collateral.
d. draw a generic graph of a foreign financial market and demonstrate what happen when foreign financial institutions might start hoarding funds, causing markets to seize up
if the inverse demand curve is p=120-Qand the marginal cost is const ant at 10 ,
4) The prevention of major swings in economic activity can be handled most easily by the A. household sector B. business sector C. financial sector
Xd(Px)=5000-100Px
1. Calculate the required reserve ratio. 2. Assume that Pam wants to borrow money to pay for a new car from Sharpeland Bank. a. What is the maximum amount that Sharpeland Ban
The Cost Minimizing Input Choice - Assumptions Two Inputs: Labor (L) & capital (K) Price of labor: wage rate (w) The capital price - R = depreciation ra
true or false ,It is not possible for the compensated own price elasticity to equal the uncompensated own price elasticity.uestion #Minimum 100 words accepted#
Average product and marginal product: Average product (AP) is the output per unit of the variable factor employed. In other words, it is the productivity of the variable facto
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