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Describe the historical economic relationship between the unemployment rate and the inflation rate in the U.S., when the unemployment rate is at or near full-employment, per the Phillips Curve.
Draw graphs showing a perfectly competitive firm and industry in long-run equilibrium. a. How do you know that the industry is in long run equilibrium? b. Suppose that there is an increase in demand for this product. What will happen to the number of..
A monopsony firm will not pay as much for factors of production as will a firm in a competitive market for inputs. Graphically, demonstrate the equilibrium solution for the monopsonist and explain why this is different than the competitive solution.
In macroeconomics, we assume that total rental and labor income (wL+rK) is equal to total output (Y), use your previous answers to show that Income=Output is the case. What are the shares of Income that Labor and Capital receive of total income? (As ..
Explain whether each of the following scenarios best reflects features of Sweezy, Cournot, Stackelberg, or Bertrand duopoly: Neither manager expects her own output decision to impact the other manager’s output decision. Each manager charges a price t..
Companies should use investment entry modes whenever possible when "going international" because they offer the greatest control over business operations.
If the USA were to shut its borders to all potential immigrants, how would this action affect the US economy. Which sectors of the economy would suffer the most and why?
What are the advantages of the HHI over concentration ratios in measuring the degree of concentration in an industry? What is the Bertrand model? What is its relationship to the Cournot model? What is the Stackelberg model?
Explain what a profit sanctuary is and why it is a competitive plus
Identify the most important obstacle that makes the retail market of canned soft drinks not perfectly competitive and suggest ONE government policy to enhance market efficiency by promoting the competition in retail market of canned soft drinks.
Assume that Indonesia is a small open economy. Explain how a decrease in the level of taxes (T ∗ ) in the rest of the world affects the world interest rate, the Indonesian interest rate, level of investment, net exports and net capital outflows in In..
"Angela view Apples and Bread as a perfect substitutes at a 1:1 ratio. Thus she will always spend half of her income on each good. Graphically illustrate, aided with verbal discussion, why isoquants cannot intersect.
In 2013-2014, the nation was struggling with a persistent high level of unemployment, low rates of economic growth, and high federal budget deficits.
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