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Consider the market for electric vehicles. Draw the supply and demand curves. Suppose that the Biden administration builds thousands of electric vehicle charging stations and at the same time the price of steel (which is used in producing autos) falls. Show this on your graph and indicate what you can say about the equilibrium price and quantity of electric vehicles.
If there were a decrease in the market demand for a product with no change in market supply, the equilibrium price would:
What are the arguments, for and against, the payment of generous unemployment benefits?
For each of the following utility functions, calculate the MRS. For each utility function, plot a representative indifference curve for a utility level equal to 2. Not every point on your indifference curve needs to be accurate.
What is the relationship between product differentiation and monopolistic competition?
The initial steady state level of capital per worker in Macroland is 5. The Golden Rule level of capital per worker in Macroland is 8. What must change in Macroland to achieve the Golden Rule steady state? Why might the Golden Rule steady state be pr..
In 1981 Andrew Carnegie asserted that "parents who leave their children enormous wealth generally deaden their children's talents and energies and tempt them to lead less productive lives." Evaluate this statement using the labor-leisure model and e..
If the government increases spending on new goods and services by $50 what is amount of the cumulative shift in AD? Enter your answer in whole numbers
how much output should the firm allocate to market 1? Approximately how much output should the firm allocate to market 2? What is the approximate price that will be charged in market 1?
Describe how the cyclically adjusted budget reveals the status of U.S. fiscal policy. Discuss the size, composition, and consequences of the U.S. public debt.
Choose a U.S. corporation and explain how the changes in real output in the economy (GDP), inflation and interest rates affected the company during the recession. Begin your memo by very briefly describing what goods and services the company sells. B..
In January 1991 the Consumer price index (CPI) was 134.6. In October 2015 (the November CPI is not yet available, so use the October CPI for this problem) the CPI was 237.8. Using January 1991 as the base period, what was the real (inflation-adjusted..
A large car fleet company asked us to help them forecast vehicle re-sale values. They purchase new vehicles, lease them out for three years, and then sell them.
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