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Question: Assume real GDP is $9,000 billion, and disposable income is $6,000 billion. The government cuts personal income taxes by 1% of DI (i.e., $60 billion). As a result, interest rates rise by 2/3%. Assume transfer payments are not changed. Using the equations given in section 7.12, determine how much real GDP changes, and how much I and each of the components of S changes.
What is the marginal rate of technical substitution?
What is the gross real rate of return on fiat money in economy?
Suppose that a monopoly has a constant marginal cost (MC=$5) per unit of output produced. that monopolist sells its goods in two different markets that are separated by some distance. the demand curve in the first market is given by Q1=55-P1 ( and MR..
Choose a question of interest to you related to labor labor economics/a policy related to labor of interest to you
question 1a explain the concept of a concentration ratio. is the concentration ratio in a monopolistically competitive
How would such a tax alter the analysis of the interest parity condition? How does your answer change if the tax applies to interest earnings but not to capital gains, which are untaxed?
Using a method similar to the CPI, compute percentage change in the overall price level. Use 2011 as base year, and fix the basket at 1 karaoke machine and 3 CDs.
network externalities are often an important aspect of demand for information goods and services. (The benefits to customers of using software, participating in electronic markets, or using instant messaging increase with the number of other users..
Based on what you read do you think Google is a harmful monopoly that should be subject to US anti-trust action. Why is some degree of monopoly power permitted?
1. a special interest group cannot impose its will on the majority because the perceived costs and benefits from
What is the monopolist's profit-maximizing level of output - what price will the profit-maximizing monopolist charge and how much profit will the monopolist make if she maximizes her profit?
using the chart below complete 1 and 2 below.pricenbspquantityper
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