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True or false? According to the Aggregate Expenditures model, at equilibrium GDP, saving is equal to planned investment and there are no unplanned changes in inventory.
Southern Airways, a small regional airline, has a daily late evening flight into Atlanta. The plane must be in Atlanta at 8:00 am each morning for a flight into Richmond, Virgina. Unfortunately, the charge for a plane remaining overnight in Atlanta i..
What events, beliefs or situations might cause a consumer to demand and buy fewer goods and services this month than last month even if prices have not changed? (note the second, third and fourth words are plural)
Describe the long-run effects of patent expiration on prices, output and profit in a monopolistic industry.
Consider the following model: C=20+0.5(Y-T) I=20-10r T=0 G=50 QUESTIONS: a) Obtain the equation of the IS curve. What is the slope of the curve? Calculate output if r=0.1 b) Suppose now that autonomous consumption increases to 30. What happens to the..
A pipeline contractor can purchase a needed truck for $36,000. Its estimated life is 6 years, and it has no salvage value. Maintenance is estimated to be $2,200 per year. Operating expense is $60 per day. The contractor can hire a similar unit for $1..
The Fed can reduce the money supply by,
In the town of Linsberg, Chuck is the only craft brewer. In the neighboring town of Krugerville, Justin and Tom each run a craft brewery and compete for customers. Which town is likely to have higher prices and greater deadweight loss? As new ride-sh..
MGE1108 ECONOMICS FOR BUSINESS - After you have completed the table above, use the information to draw/plot the Average Fixed Cost (AFC), Average Variable Cost (AVC), Average Cost (AC) and the Marginal Cost
Briefly state the basic characteristics of pure competition, pure monopoly, monopolistic competition, and oligopoly. Under which of these market classifications does each of the following most accurately fit?
Zelda Industries is the only firm of its kind in the world. Due largely to historical accident, it began producing streganomas in 1985 in a vacant warehouse. This rate is comparable to the average interest rate that large banks paid on deposits over ..
From the scenario for Katrina’s Candies, determine the importance of predicting the pricing strategies of rival firms in an industry characterized by mutual interdependence. Examine the common price setting strategies of airlines that use game theory..
In the five years ending 2011, Switzerland enjoyed a fiscal surplus that averaged 1.3% of GDP, a trade surplus that averaged 2.6% of GDP, and a government debt to GDP ratio that averaged 40%. Use the appropriate graphs for a small open economy to ill..
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