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Suppose that the demand function is given by x=P^-n, and the supply function by y= p^e. Find the equilibrium price. Determine the effect on the equilibrium price of the introduction of a tax t=0.1 if n= e=0.5. Finally, describe how the incidence of the tax is divided between the consumers and producers.
Elucidate the most important economic indicator affecting your organization and explain why.
In a simple model with no government or foreign sector, the amount of involuntary inventory accumulation at equilibrium is
Elucidate the fiscal policy also which factors limit its effect.
What are the two problems facing the Bank of Canada in trying to control the money supply precisely?
Assume the U.S. government determines that cigarette smoking creates social costs not reflected in the current price of cigarettes in the market
Explain why is it that for sellers in a purely competitive marketplace, the price received for each item equals the marginal revenue.
Explain why do you think macro-economics applies to your organization. Give at least two examples of macro-economic actions that could affect your organization.
Is the subsiquent events cause the dollar to appreciate or depreciate against the Euro.
If deficit spending -crowds out some private investment, could future generations become worse off? If external financing eliminates crowding out, are future generations thereby protected?
Later on evaluating either it should build the company the firm decides that it should:
Suppose that American households change their tastes such that they want to save more at every level of income.
Currently, the extent of our economic difficulties has caused the economic policymakers to choose fiscal and monetary policies that are both expansionary.
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