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Explain whether the following government activities is motivated by a concern about equality or a concern about efficiency. In the case of efficiency, discuss the type of market failure involved- regulating cable TV prices.
Disclose what the book suggests once the short-term rate is much cheaper than the long-term in interest rate. Substantiate whether or not that is a normal occurrence or a cause for alarm.
Illustrate what is the price elasticity of supply for your chosen industry.
Make an example of a comparative advantage model by 'choosing two countries and two products.
Illustrate what is the difference between a movement along and shift of the demand curve. Show the impact on the equilibrium price and quantity that results.
Explain why do you think we have laws that prohibit discrimination in pay based on sex or race but permit employers to discriminate in pay based on education or experience.
Comprehensively distinguish between expansionary and restrictive fiscal policy. Is the current fiscal policy stance in SA expansionary or restrictive? Motivate your answer comprehensively. (half a page with references)
The Wall Street Journal reports that the rate on three-year Treasury securities is 5.25 percent and the rate on four-year Treasury securities is 5.50 percent. The one-year interest rate expected in three years
The market equilibrium price for coffee beans in Ecuador is $2.75/pound, a price at which growers are unable to make a profit. Due to the lack of profits, many growers have stopped production and the output of coffee beans has fallen from 400 tons..
What is her marginal rate of substitution when L = 100 and she is on the budget line? What is her reservation wage? What is her optimal combination of C and L?
Suppose Sam's Savings Bank has the following balance sheet with all amounts in millions of dollars): Assets Liabilities + Capitol Cash 5 Transactions deposits 267 Deposits at Fed Res 10 Time Deposits 569 Gov Bonds 20 Subordinate Debt 38 Gov Bond A..
Some workers in the economy are paid a flat salary and some are paid by commission. Which of compensation scheme would require more monitoring by supervisors? In which case do firms have an incentive to pay more than the equilibrium level (as in the ..
Microhard has issued a bond with the following characteristics:
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