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Discuss the validity/invalidity of the following statement:
A monetary policy that tries to minimize fluctuations in interest rates leads to a pro-cyclical monetary policy, thereby increasing the amplitude of the business cycle.
Should a government be involved in funding banks on Wall Street andlarge automakers out of debt with federal funds so they can stayout of bankruptcy? Does this help or hurt our economy andwhy?
You are a division manager at Toyota. If your marketing department estimates that the semiannual demand for the Highlander is Q = 150,000 - 1.5P, what price should you charge in order to maximize revenues from sales of the Highlander?
The uninitiated might look at trading in futures and forwards contracts as Wall Street's way of just conducting an elaborate gambling operation, with bettors laying money on the direction of commodities, stocks, or other assets.
Suppose Home has 100 units of labor and 200 units of capital, while Foreign has 300 units of labor and 150 units of capital. Under free trade, which country would export cloth? Which country would export food? When the two countries start trading,..
Under monopoly, what is the relationship between price and marginal revenue. At what point does the firm produce in order to determine the output level and price required to maximize profits. What is the overall constraint on the monopolist
Is the demand for electricity much price elastic when measured over a short period of time or a long period time. Explain.
Discuss the logic of a company setting and exercising the application of a mandatory retirement age and determine the pros and cons of the mandatory retirement practice from the perspective of the organization, economy, individual, or Nation?
Elucidate what factors move the marketplace away from equilibrium.
Adopting the main features of the neoclassical supply of labour, elucidate how these 2 factors may be related.
Draw what would happen to equilibrium if both supply and demand shifted to the right at the same.What happens to equilibrium quantity and price?
Instaed of a minimum wage, suppose there is unemployment benefit that pays $50 per day. Workers are indifferent between earning a wage of $50 per day and remaining unemployed and collecting the benefit.
Consider the "Beauty Contest" or guessing game experiment. Everybody picks an integer between 0 and 100 inclusive, and the winner is the person who picks closest to 2/3 of the average pick. a) What picks are ruled out by the idea of one level of it..
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