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Because of the pandemic, there was a huge demand for alcohol and face masks. Some companies resorted to produce such product to address the growing demand. It solves issues on what basic economic problem of the society?
Briefly explain whether the sale of the goods in group A or B will fluctuate more during the business cycle relative to real GDP.
Consider a large country importing good X in the international market. The country is large enough to influence the international price for good X. Let the initial international price of good X be $100, where the country imports 100 units and produce..
The Super Bowl in 2014 was held outdoors in New Jersey in the winter. Assume the market for tickets to the event was in equilibrium one week prior to the Super Bowl. A weather report forecasted cold weather for the event, and the price for outdoor se..
The AD schedule slopes downward because real income rises as the price level declines and everybody buys more as the real income rises.
Which of the following is not a characteristic of a monopolistically competitive market structure? There are low barriers to entry of new firms. All sellers sell products that are differentiated. There is a large number of independently acting small ..
Consider the aggregate production function, Y = K^1/3 L^2/3. Assume the macroeconomy is in competitive equilibrium where capital and labor are paid their respective marginal products. Show mathematically that aggregate production function has constan..
Explain the differences between shortages and scarcity. In answering this question, you should consider the difference between the short run and long run
For a budget spent entirely on two goods, an increase in the price of one will necessarily decrease the consumption of both if both goods are normal.
Given that "high-value forage" is an input for the production of beef, how is the market for beef impacted by the drought? What happens to the equilibrium price
Consider the following game. Players one and two simultaneously and independently choose real numbers, x1 and x2. Player one chooses x1 weakly
Suppose Dell reduces its computer prices by 10 percent and notices that the quantity demanded increases by 8 percent. Calculate the price elasticity of demand.
If you were an economic advisor to both the President and the Chair of the Federal Reserve Board, what Fiscal Policy and Monetary Policy recommendations
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