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The following table shows a demand schedule for a normal good:
Price
Quantity Demanded
23
70
21
90
19
110
17
130
Negotiable instruments are transferred every business day of the year. Make a checklist for the potential buyer or holder of a negotiable instrument. Remember they are going to give something of value in return for this document and they don't want t..
Payments for imports and receipts from exports are recorded in the current account. Foreign investment in the United States and U.S. investment abroad are recorded in the capital and financial account. A change in U.S. official reserves is recorded i..
What is the federal funds rate? Why is it a vital component of macroeconomics? How does the Federal Reserve influence the federal funds rate? Graphically illustrate the impact of an FOMC open market operation that aims to reduce the federal funds rat..
What business organizational format (Limited Partnership, a Limited Liability Company, or a Corporation) was chosen and WHY? (reasons why you chose the particular format i.e. no double taxation, etc.)
The short-run production function of a profit maximizer firm is given by f(L) = 6L^(2/3) , where L is the amount of labor it uses. The cost per unit of labor is w = 6 and the price per unit of output is p = 3. How many units of labor will the firm h..
Suppose that Martha’s income is $40,000 per year. She can spend it on health care visits, which cost $80 per visit, or on groceries (standing for all other goods) which cost $100 per bag of groceries. Draw Martha’s budget constraint. Using in differe..
Political business cycle: Do economic events affect presidential elections? To test this so-called political business cycle theory, Gary Smith20 obtained the fol- lowing regression results based on the U.S. presidential elections for the four yearly ..
Suppose that all of the numbered diamonds and spades from a deck of cards (excluding Ace, King, Queen, and Jack) are used to set up a market. The diamonds determine demands, e.g. a 10 represents a buyer with a redemption value of $10. Similarly, the ..
Using supply and demand analysis, show graphically and explain verbally 3 factors that may have led to rising health care costs in the United States from 1960 to the present day.
Does this seem counter-intuitive to you? Be sure to include an explanation of why China score is relatively low compared to the U.S.
The costs of in?ation: Consider two possible in?ation scenarios. In one, the in?ation rate is 100% per year, but it has been at this level for three decades and the central bank says it will keep it there forever. In the other, the in?ation rate was ..
for each bundle that the consumer chooses, show the indifference curve that goes through that bundle. Make sure to label your graph carefully and accurately.
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