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Does a "downturn in an economy" have the same as "fiscal expansion" or "fiscal contraction"? as it relates to its impact on a small open economy in terms of income and trade balance?
Suppose higher income implies higher imports thus lower net exports. The net-exports function becomes NX = NX(e,Y) . Examine the effects on a small open economy of a downturn in the economy on income and trade balance for a (1) floating exchange rate and (2) fixed exchange rate. How would we illustrate this question graphically?
for each of the examples below answer the following questionsa is there an externality? if so describe it including
if you were a manager in a tobacco company, analyze the elasticity of demand for tobacco products. Evaluate the factors involved in making decisions about pricing tobacco products indicating which would be the most influential.
How does this story illustrate the meaning of "GDP per year" when the GDP number is reported every three months?
Formulate a reason why the elasticity of demand is an important consideration when analyzing the impact of a shift in supply and why the elasticity of supply is an important consideration when analyzing the impact of a shift in demand. Include at lea..
Illustrtae the possibly changes which the "accrual" accounting or the "cash basis" could bring into the financial statements.
Illustrate what are the pros and cons of alternative strategies to tackle a foreign market.
Consider current budget problem of many states. What is it Explain. What are the two basic choices for them to get out of financial trouble Explain the impact of each. Why are some states playing for a federal bailout if needed
Which one of the following statements is true? An open market __________ by the Fed increases the money supply, which leads to __________ interest rates and increased GDP
What is a market structure with many competitors selling virtually identical products. Barriers to entry are quite low.
Explain how have monetary and fiscal policies affected the prices of the product the petroleum industry produces.
What factors make the Fed independent from politics? Why is there so much political pressure on the Fed, despite its independence - How does the Fed work to protect itself from political pressure?
This problem uses Okun's law to study how the unemployment and inflation rates change when there are demand shocks. Assume that the relationship between the output ratio and the unemployment rate, U is given by the equation U = 6.0 - 0.5 (output ..
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