Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
1. Given that Y=900 and want consumption and investment are given through:Fill in as many entries as you need to answer the questions.Assume that this is a closed economy (NX=0).
R C I G S C+I+G0 925 80 150.01 900 75 150.02 875 70 150.03 850 65 150.04 825 60 150.05 800 55 15
a) Find the interest rate that is consistent with equilibrium in the goods market.b) what is national savings in equilibrium?c) what is total desired spending in equilibrium?d) what is desired investment in equilibrium?
4. Assume the economy-wide expected future marginal product of capital is MPK=30.1-0.01K where K is the future capital stock. The depreciation of the capital stock is 5% (0.05) per period. In parts a and b we will suppose that r=0.05 we find the equilibrium r in part d. It is unlikely to be 0.05. The price of a unit of capital is one.
The current capital stock is 1900 units of capital. The price of one unit of capital is one unit of output.Firms do not pay any taxes.a) what is the optimal value of capital? Supposing that the interest rate is 0.05b) what is the optimal value of investment? Supposing that the interest rate is 0.05c) write the optimal investment as a function of the interest rate.d) Let the consumption function is C=4000+0.8Y-100r where C is consumption and Y is output.Government consumption is 1005 and full employment output is 30,000.Compute the equilibrium interest rate?
Write down the difference between Equilibrium price and Equilibrium quantity. What role does elasticity place?
what are the capital (k) and labor (L) elasticities of production? What do these elasticities tell you? Log Q=-1.5+.52log k+.65log L
The President of US is suggesting increased spending for a missile defense system and also proposing a major long term tax cut. Provide some predictions of possible outcomes for the federal budget categories,
Developing countries in the "Global South" turned to socialism in the past as a means to solve their economic problems.
What was the Neolithic Revolution. Explain
Assume that the demand changes to QD = 600-2P and the supply function stays the same. Graph the new situation in Excel. Find the new equilibrium price and quantity, and show it on your graph.
Supposing the marginal cost curve is for a competitive industry as a whole, find out the profit-maximizing level of output and price.
You're the manager of monopolistically competitive firm. The present demand curve you face is P=100-4Q. Your cost function is C(Q)=50+8.5Q2 (That's Q squared).
Calculate the marginal and average variable product of each unit of labor input. Hint: plot your Units of labor and Units of Output vertically. Calculate total, average total, average variable, and marginal costs.
What is firm's cost of capital at the various combinations of debt and equity? What is the firm's optimal capital structure? Construct a balance sheet showing that combination of debt and equity financing.
What price and quantity will monopolist produce at if the marginal cost is constant $4.00? Compute the deadweight loss from having the monopolist produce, rather than the perfect competitor.
The demand function for product sold by an oligopolist operating in the short run is given below: Compute the profit-maximizing price and quantity, if the firm operates in short run.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd