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Current Event Memo Assignment: Canada's Economic Outlook
You are the assistant to the Minister of Finance. The Minister has been away on an extended vacation and has just returned. He needs you to inform him about the current state of the economy and the short-term economic outlook. Specifically, he wants to know about the:
The Minister also wants you to mention how the current economic state will affect international business in the near future.
Your memo should be no longer than one page in length.
Show in a graph, one for each question, what will happen (if anything) in the market for coffee when each of the following happens:
Explain how the reduction in supply from the reduced fishing waters will either increase or decrease consumer surplus and producer surplus.
The “Broken Window Fallacy” goes as follows. A baker comes to his shop one morning and discovers someone has thrown a rock through his window. It will cost $300 to fix, and while he is bemoaning this someone says “I know it is hard for you, but socia..
The government finances deficits by borrowing. By reducing the pool of saving, government borrowing can reduce the availability of loanable funds and push interest rates upward--the crowding out effect. Which of the following choices explains how the..
In an asymmetric market for used cars, which of the following could be used to avoid a thin market?
From observations over many years, the company has concluded the fill amounts in their 2 litre bottles is normally distributed with a mean of 2.01 litres and a standard deviation of 0.11 litres. What fill amount (in litres) will see 97% of all bot..
“The Phillips curve and the aggregate supply curve are two sides of the same coin.” (Mankiw P. 406, 8th Edition). Suppose the natural rate of unemployment is 6% and the expected rate of inflation is 5%. On a single graph, draw the short-run and long-..
A precise definition of globalization is difficult, because globalization is a process which removes economic, social and cultural boundaries of nation states. Discuss this process. Do you think that globalization is a win-win situation for all count..
Within the range of prices around the midpoint on a straight-line demand curve, demand is...
Explain the significance of exports, imports, absolute advantage, and comparative advantage.
1. 1.because bank funding markets are global and have at times broken down disrupting the provision of credit to
a. Calculate the inflation rates in Canada and the U.S. b. Calculate the real exchange rate at the beginning of the period.
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