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1. The demand for Pepsi is more elastic Than the demand for soda .
TRUE OR FALSE
2. The effect of taxing demanders are the same as taxing suppliers
The money, or financial, multiplier is equal to 1/ the reserve requirement, that is, Mk = 1/RR. Assume that RR = 20%. What is Mk? Now assume that the reserve requirement is lowered to 10%. What is the new Mk? What would happen to Mk if the RR were ra..
Illustrate what kind of gap-inflationary or recessionary-will economy face after shock and illustrate what type of fiscal policies would help move economy back to potential output.
Suppose the production function for pasta is Q = 4kl. What is the long-run optimal input combination when Q = 16 , r = 4, and w = 36 ?
Elucidate how consumers in an economy can be better ff if the marginal rate of transformation does not equal consumer's marginal rate of consumption.
Elucidate how much should Joseph's income increase to compensate for the rise in the price of roses?
The social security system levies a tax on workers and pays benefits to the elderly. Suppose that Congress increases both the tax and benefit.
In a current newspaper article you also read that The Camera Shop has exhausted its undertaking capital and that no new investors
Assume that the income elasticity of demand for tickets is +2.5. Also assume that the average household in the community makes $20,000 per year and that about 6000 tickets are sold per year. Now let the average household income go up to about $22,000..
q.consider the following islm model for a closed economyc4000.4yd i2000.3y-2000i g360t400 mp4y-100000ims2600 10
Elucidate why does the government create monopoly power via its patent system, when elsewhere it spends millions trying to prevent the emergence of or regulate monopoly power.
Suppose demand for the firms watches falls permanently to P = 20 - Q/20,000. In view of this fall in demand, what output should the firm produce in the short run? In the long run? Explain.
Create a timeline of the annual activity of labor/management collective bargaining from 1978 through 2009, providing a short synopsis of mergers, new carriers and company departure from the air transportation sector. Highlight the areas of most impor..
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