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1. Assume a two-sector economy where Y = C + I C = a + b Y I = f ( i ...... with a = $18 billion b = 0.8 and investment demand schedule/curve so that at i = Investment = 8% $60 billion 6% $70 billion 4% $80 billion 2% $90 billion Instructions: Calculate an equilibrium income (IS) schedule/curve. For your answer simply indicate the equilibrium income associated with each different rate of interest. 2. Still assume a two-sector economy as above, but with S = -15 + .2 Y and investment demand schedule/curve such that at I = Investment= 7% $90 6% $110 5% $130 4% $150 Instructions: same as #1 above 3. Now let's assume a three-sector economy Y = C + I + G C = a + b Yd specifically, C = 20 + .8 Yd Yd = Y - Tx Tx = 50 billion I = f ( i ......... G = 100 billion G = Go Tx = Txo and investment demand schedule/curve so that at I = Investment = 8% $60 billion 6% $70 billion 4% $80 billion 2% $90 billion Instructions: Same as #1 and #2 above
The equation QA= 1/2(12-Q)b) is the so called reation function of duopolist A in a COurnot model becasue given the value of Qb, Qa gives the best or profit-maximizing level of sales of oligopolist A. Show that this is the case with reference. Wha..
1. What are the ten principles of economics?
Would you mind sharing with the class a simply numerical example showing how the CPI is calculated. What can you share with the class concerning the substitution bias associated with the CPI.
Maria is training for a triathlon, a timed race that combines swimming, running and biking. Because her pool sessions are helping her swim more quickly, Maria plans to reduce by one hour per week the time she spends training on the bike and increase ..
consider the table below for the neighboring nations of northland and west coast. the table lists the maximum feasible
the significant run-up in oil prices from 2005-2010 was an example of a. an aggregate demand shock that increased the
Suppose that total employment in the U.S. economy increased from 143,000,000 to 145,500,000 from last year. At the same time, the number of unemployed dropped from 11,000,000 to 8,700,000. Also suppose that the working age population increased from 2..
Compute the effective annual interest rate 10% nominal interest compounded semiannually, 10% nominal interest compounded quarterly, 10% nominal interest compounded weekely.
Assignment Presume that you are considering whether to enrol in a summer computer-training program that costs $2500. If you take the program, you will have to give up $1500 of earnings from your summer job. You decide that the program will increase y..
Provide a brief company and product description and describe the characteristics of your chosen product that differentiate the product in the marketplace.
with an unprofitable rural hospital that was offered a contract at a lower price what are major economic concepts that
A man is planning to retire in 20 years. Money can be deposited at 8%, compounded monthly. It is estimated that the future general inflation rate will be 3% compounded annually. What deposit must be made each month until the man retires so that he ca..
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