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Answer the following true, false, or uncertain with an explanation motivating your answer.
a. The Bank of Canada has complete control over the size of the money supply in Canada.
b. Fiscal policy has a relatively long inside lag, but short outside lag. In contrast, monetary policy has a relatively short inside lag but long outside lag. This is an argument for passive policy.
A monopolist sells a product in two different markets. Demand in the first market is Q = 100 − P. Demand in the second market is Q = 100 − 2P. The firm’s cost function is given by C(Q) = 10Q. Suppose the firm can charge different prices in the two ma..
What is in USD million dollar conversion? Below all number RMD to USD MILLIONS?
The bond, which may be called after five years, has a nominal yield to call of 5.4%. What is the bond's call price?
In the movie Peter says: “It’s not that I am lazy. It is that I just don’t care…The problem is one of motivation.” What kind of problem is depicted in the movie? Is it one of moral hazard or adverse selection? Explain.
q1.project a will cost 2533000 and will return 1000000 at the end of 5 years and 4000000 at the end of 10 years.
Suppose a hypothetical economy can be well represented by a Solow model. The production function is estimated to be Y=(K^0.5)(L^0.5)
How is GDP a measure of both output and income? How is it possible that both measures of GDP - income and expenditure approach - can end up with the same number?
(a) To what degree is radio broadcasting a public good? (b) To what degree is a highway a public good?
An increase in the price of imported goods will:
Suppose a country produces two goods (wheat and cars) from two inputs (labor and capital). Suppose further that we observe that workers and capitalists in the car industry oppose freer trade in the short run but only workers oppose freer trade in the..
Two nations have straight line production possibility frontiers, but with different slopes. Using a graph and an accompanying written explanation, explain why complete specialization maximizes the gains from trade between these two countries.
1) In your opinion, is Microsoft a monopoly? If not, which qualification is not satisfied?
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