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An economy has the following parameter values: s ?=.3,d ?=.1,A ?=1,andL ?=100.2 The economy begins at steady state but at some point is attacked by Godzilla, destroying 70% of the capital stock. Calculate the growth of per-capita GDP in the period immediately following the Godzilla attack.
1 The Drop box will not close but your score will be reduced by the amount described in the syllabus depending on how late it is uploaded.
2 Note that the presence of savings and depreciation rates mean that this problem involves the Solow model.
What advantages might a socialist system have in responding to the needs of people struck by an emergency situation like the earthquake that occurred in Haiti in January, 2010?
Briefly explain if you agree with the following statement: If interest rates rise, bonds become more attractive to investors, so bond prices rise. Therefore, when the interest rat
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A sudden decrease in the growth rate of GDP will cause a change in: A. planned investment spending. B. unplanned investment spending. C. both planned and unplanned investment spend
What are the requirements for something to be considered money? Why does the dollar have value?
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