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An increase in the spread between interest rates on10-year bonds of Italy and Spain and interest rates on 10-year bonds of Germany indicates:
A. An increase in probability of a liquidity trap of italy and spain
B. An increase probability of a liquidity trap in Germany
C. A perception of increasing risk in Italy and Spain
D. A perception of decreasing risk in Italy and Spain
q.suppose the cfo of an american corporation with surplus cash flow has 90 million to invest and the corporation does
Regulating Monopoly. Explain how a regulator can reduce the deadweight loss associated with monopoly by setting a price cap in the market. Show what the ideal level of this price cap is, and the resulting inefficiency.
If the actual price level exceeds the expected price level reflected in long-term contracts, real GDP equals __________ and the actual price levels equals _________ in the short run. List three factors that can change the economy’s potential output. ..
What happen if he goes to market, he must feed the horse 50lbs of rice. draw the budget constraint for beans and rice
Illustrate what will be real interest rate that clears goods market at G = 2000 and Y = 10,000. Conclude autonomous investment and marginal propensity to invest.
Does either firm have a dominant strategy. Is there a stable equilibrium.
illustrate what way is Per Capita GDP a better measure of economic well being than GDP. How does this relate to economic problems in the undeveloped world.
q.watch the video titled fear the boom and bust. using the tools of macroeconomics identify the primary difference
q.in a particular monopoly the demand equation is given by yp 5p1. what is the price elasticity of demand?2. what is
q1 if you are the chief economist of a country experiencing full employment and high inflation levels over the past
The following shows the demands and marginal revenue in two markets, 1 and 2, for a price discriminating firm along with total marginal revenue, MRT, and marginal cost MC: Compare the demand conditions in each market; i.e. how do the two markets diff..
we haven't been able to say much on theoretical side about private information combined with complementarities.
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