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Q1. Assume Australia's unemployment rate began to rise, and the government passed an investment tax credit to help stimulate the economy. Elucidate the effect this policy would have on the nation's real risk-free interest rate, nominal interest rates, real and nominal GDP, gross private domestic investment, unemployment rate, inflation rate, real and nominal exchange rate, current account, financial/capital account and reserves account.
Q2. Let the cost function be C= 100 + 4q+ 4q(2). Derive an expression for average cost. Derive an expression for marginal costs. Is there any range of production characterized by scale of economies? At Illustrate what production level are scale economies exhausted?"
A flat tax plan allows individuals to deduct a standard allowance of $10,000 from their wages. Assume that the flat tax rate is 12%. Calculate the amount of income tax and the average tax rate if you were earning.
Discuss the manner in which an analyst would compare the relative profitability of the two potato chip segments.
What are some methods for improving the financing of the U.S. health care system. Are these methods realistic and achievable? Justify your answer with solid reasoning and appropriate references.
Explain what occurs when a new technology makes another one obsolete in terms of economic profit.
Suppose that the supply curve of healthcare services is perfectly inelastic. Analyze the impact of an increase in consumer.
Assuming the policymakers do nothing, use the diagram below to show the effects of the consumer pessimism on aggregate demand.
Assume which, in the efficiency wage model, it becomes more difficult for the ?rm to distinguish high-ability workers from low-ability workers in the labor market.
Derive Chenyu's consumption function in terms of her annual income Y and initial wealth W according to the life-cycle model.
Evaluate the results of the regression equation tells managers and how it is likely to impact decisions made related to maximizing profitability.
A major Statistics Canada household survey, the Survey of Labour and Income Dynamics or SLID, the latest of which is referred to as SLID 2009.
There are two identical firms in this economy with constant marginal costs equal to 1 and no fixed costs. Assume that firms set prices and follow a Bertrand model to do so.
Calculate real GDP in each year, and the percentage increase in real GDP from year 1 to year 2 using year 1 as the base year. Next, do the same calculations using the chain-weighting method.
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