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Which of the following beliefs is not part of supply-side economics?
1. A sharp reduction in corporate income taxes would discourage U.S. corporations from shifting their production facilities to other countries, thus leading to a decrease in the unemployment rate.
2. A sharp reduction in personal income taxes would bring forth a higher capital stock through greater saving and investment.
3. A sharp reduction in personal income taxes would bring forth higher labor-force participation.
4. A reduction in tax rates would lead to increased output and actually allow tax revenues to rise.
Use demand and supply analysis to illustrate the changes in chicken prices described in the article. Describe what has happened in the corn and soybean-meal markets and how that has influenced the chicken market.
You are given the following two IS curves that show how real GDP (Yt) in the current time period t depends on the current interest rate and interest rates in previous periods, where rt is the interst rte in time period t. Furthermore each time per..
question 1 what do you mean by a social welfare function? if you suppose that such a function exists what properties of
q1. what are the three tools the federal reserve uses to change the money supply and insert rates in the economy? which
Presume the demand and supply curves for one-year discount bonds with the face value of $1,000 are given by: What is the equilibrium price and quantity of bonds in this market? What is the interest rate in this market, given your answers above?
When economists are sketching examples of a supply or demand curve that is close to horizontal, they refer to that demand or supply curve as ____________.
Consider the relationship given by QCars = 100 + 4xPCars - 2xPSteel - 0.2xPWorkers, where QCars is the quantity of cars (in thousands), PCars is the price of cars and PWorkers is the wage earned by autoworkers.
suppose that the production function for a commodity is given by q 10radiclkwhere q is the quantity of output l is the
Let Tom’s utility function be U(C,L) = ??! + 3×??! . If Tom has 10 hours to split between work and leisure and his wage rate is $5 per hour, what would be his optimal allocation?
.if individuals are free to produce whatever goods they want, then when excess profit is being made, more people will enter into the production of that good and consumers will benefit as the price is pushed down.
What shape did the short-run aggregate supply curve have during the 1930s, according to Keynes? Explain
Suppose we have an economy in which G = 100, t = 0.26, Y = 3800, and YN = 4000. Then t rises to 0.28 as the same time as G rises to 150. The overall impact of this resettling of the fiscal variables is ________ because ________.
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