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For each of the following, explain whether it is an example of an automatic stabilizer: a. unemployment benefits increase during a recession b. the government attempts to slow inflation by reducing military spending. c. the government cuts income taxes to boost the economy. d. many taxpayers fall out of the top tax bracket and keep a larger share of their income as the economy worsens. (Hint: This is according to current tax law.)
Presume you are interested in using time series data to estimate the following population model: yt = β0 + β1xt + β2xt-1 + β3xt-2 + β4zt-1 + ut a. Based on this population model, how much would you expect y to change among period 0 and period 4 ..
In early 2008. You purchased and remodeled a 120-room hotel to handle the increased number of conventions coming to town. By mid-2008, it became apparent that the recession would kill the demand for conventions.
Which of the following is the first step to legal reasoning in the critical thinking model? A. stating the relevant rules of law B. looking for evidence of relevant missing information C. analyzing the legal analogies D. stating the facts of the case
Consider three markets: M1, M2, and M3. There are features of these markets that the Department of Justice observes and features the Department of Justice does not observe. The DOJ observes that M1, M2, and M3 have one
The law of demand says that the price and quantity demanded are inversely related. Thus, is demand curve positively or negative sloped?
Which of the following will never be negative in economic theory?
Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4 ..
Many countries in the European Union use the same currency: Euro. Should the US, Canada and Mexico similarly use the same currency? What are the pros and cons of using the same currency if all three countries use it? Will the US benefit from such as ..
forecasting is used as a tool for planning. when developing forecasts firms need to think of all possible scenarios and
imagine a large multinational firm producing consumer products which announces to cut 20000 thousand jobs close 100
What would be true of entitlement spending if the percentage of taxes allocated to discretionary spending rose to 100 % and the federal budget was balanced? (Hint: Under a balanced budget, tax revenues equal the sum of discretionary and nondiscretion..
a random sample of 10 economists produced the following forecasts forpercentage growth in real domestic
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