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Questions
The current inflation rate in the US is 7%, which is the highest it's been in 40 years. Describe the appropriate fiscal policy in this situation. You should be able to graph this fiscal policy in the Aggregate Demand-Aggregate Supply framework, though you do not need to submit a graph with your answer.
Discuss the effect that government spending has on household disposable income. Is there a significant correlation between the two?
The bonds are identical in every way (e.g. they have the same coupon payment, maturity data, etc.), except that A is "riskier" than B - i.e. you think the probability of full payment of principal and interest is lower for A than it is for B.
Imagine a person's utility function over two goods, X and Y, where Y represents dollars. Specifically, assume a Cobb-Douglas utility function:
What government officials increase the price of parking ticket from $40 to $50; they are surprised that their revenue actually falls. What happened?
Now suppose the Central Bank of Pandesia (CBP) decides that after centuries of 100-percent-reserve banking, it is time for a change and decide to switch the Pan
What questions would you ask as the interviewer? Write a script for a radio/television show as if you were interviewing an expert concerning
Find the flaws in reasoning in the following statements, paying particular attention to the distinction between shifts of and movements along the supply and demand curves. Draw a diagram to illustrate what actually happens in each situation.
Discuss to what extent these two countries' economies complement each other. Evaluate how sustainable the US model based on consumption is.
Read the journal article, "Five Big Steps toward Faster Global Growth". Based on the information presented in the article, discuss the following: What are the challenges that the US economy will be faced with given a higher debt limit for future e..
Consider a specific example of the special-interest effect and the collective-action problem. In 2012, it was estimated that the total value of all corn product
In the News: If you bought any good or service this week, you have already participated in the market system that operates by demand and supply.
Due to low unemployment, firms are having tougher time to find qualified workers. What will be the slope of aggregate supply curve if a country runs out.
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