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Currently, the extent of our economic difficulties has caused the economic policymakers to choose fiscal and monetary policies that are both expansionary. Though many economists believe this mix of policy is appropriate to our current circumstances, there are concerns of problems that these policies might create. Now that you have become a knowledgeable and critical consumer of financial and economic affairs, I want you to sort through the statements below to assess their plausibility given the concepts and models we have discussed this semester. If you believe the statements below are plausible, you should explain why you do so using ideas from the class. If you see them as implausible, you should argue why given the concepts discussed this semester.
a. These policies will restrict private, business investment spending given their impact on credit and interest rates, thereby limiting future long-term economic growth.
b. These policies will likely cause a weakening in the American dollar as a result.
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Suppose that a perfectly equal distribution of income existed in Disneyland. Which of the reccent residents would have the same income he or she has in present distribution?
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Joan is deciding where to spend her spring break. If she goes to Cancun, Mexico, the trip will give her 9,000 utils of satisfaction and will cost her $300. If, instead, she travels to Florida, the trip will give her 5,000 utils of pleasure and w..
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Assume that there're 10 million workers in Canada and South Korea and each worker in Canada and South Korea can manufacture four cars per year.
Field discusses the key threats to sustainable management of forests and agricultural resources. First summarize these threats. Then,
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A firm uses two inputs, unskilled labor (L) and capital (K) to produce its product. The wage rate for one unit of labor is $5, while units of capital cost $20.
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