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What does equilibrium GDP means? How net exports affect aggregate expenditure in the economy? How prosperity abroad affects our exports? What happens when there is disequilibrium situation? When GDP is less than the equilibrium. When GDP is more than..
Identify and discuss other factors, including structural and social, that have contributed to increased income inequality and indicate the approximate percentage of income inequality for the top two or three causal factors as related by Lindsey.
After bad experiences with a flexible exchange rate, the small open economy of Rivendell decides to fix it exchange rate. Suppose the economy of Rivendell has reached the long run equilibrium. Is trade policy more effective under a flexible exchange ..
Calculate the percentage change in nominal gdp, real gdp and the gdp deflator in 2008 and 2009 from the preceding year. for each year identify the variable that does not change. explain in words why your answer make sense.
Suppose a widget manufacturer has an infinitely substitute production function, q=3L+2K, given that MPL= 3, MPK= 2. If both the wage rate and rental rate are $10. What is the cost-minimizing combination of L and K to produce 60 units of output. How m..
Find equilibrium Y in the basic Keynesian model (round Y to the nearest whole number) What are the values of BS and NX at the equilibrium level of Y? Find the value of savings at equilibrium Y.
The quantity of money is ?$4 ?trillion, real GDP is ?$10 ?trillion, the price level is 0.8?, the real interest rate is 2 percent a? year, and the nominal interest rate is 10 percent a year. Calculate the velocity of? circulation, the value of M? × V?..
A firm has $2.5 million in sales, a Lerner index of 0.67, and a marginal cost of $50, and competes against 800 other firms in its relevant market. What price does this firm charge its customers? By what factor does this firm mark up its price over ma..
If C = 1000 + 0.75 x Disposable Income while investment is I = 2000 – 20r. If government expenditures are 0, the tax rate is 1/3, what is the equation of the IS curve? What are the values for r-intercept and the Y intercept?
A construction firm needs a new small loader. It can be leased from the dealer for 3 years for $5500 per year including all maintenance, OR it can be purchased for $20,000. The firm expects the loader to have a salvage value of $7,000 after 7 years.
How do venture capital boards differ in composition from the boards of companies that have been bought out and why would a board have special voting rights? How do these address some of the basic tenets of private equity?
Jane, like Mary, grows silver bells and cockle shells in her garden, only she doesn’t have any space constraints. She does have a money constraint: she can only spend 500 pence (p) on flowers. Like Mary, Jane has a utility function for silver bells (..
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