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Income is currently 600,000 unemployment is 5 percent, and there are signs of coming inflation. You rely on ur research assistant for specific numbers. He tells you that potential income is 564,000 and the mpe is .5.
a)The government wants to eliminate the inflationary gap by changing expenditures. What policy do you suggest?
b) By how much will unemployment change after you policy has taken effect?
Suppose that your production facility can only produce 1,000,000 pills per year. Illustrate what is your optimal price and quantity given the production constraint.
Everyone who has baked with the new flour loves it, but she is having trouble getting potential consumers to the desire stage of the AIDA concept.
Explain the argument that lower corporate tax rates can increase tax income in Kenya. Reflect on the Laffer curve in your explanation.
What happens to price of a bond that pays a fixed percent of face value every year when interest rates in economy increase.
Assume that he marries her the subsequent year. Other things equal, which of the following would be true concerning the reported official GDP the following year.
Subsequently the customer paid the balance on 22 October 2012. To customer the Credit terms offered.
Elucidate however, was 3 percent in Finland also 1.8 percent in France. From this we can conclude that France's every capita GDP
Determine the income elasticity of demand, and state whether good X is a normal or inferior good. Determine the own advertising elasticity of demand.
What are factors that shift supply curve for this good. How do you expect supply and demand of your selected good to change in next year. Relate your expectation to price and quantity.
Statistical analysis indicates that a=0.8 and b=0.3. The firm's owner claims the plant has increasing returns to scale.
Some economists have suggested that the best way to control medical costs is to remove the profit incentive for health care providers, particularly hospitals.
Illustrate what is the most money you can make on this position. Elucidate how far can the stock price move in either direction before you lose money.
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