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Tradeoff between current consumption and savings
Economists agree that an economy cannot grow without savings. This means forgoing current consumption, saving, and investing in capital goods. Using the production possibility frontier curve, explain the tradeoff between current consumption and savings and how this impacts economic growth.
Utilize the information to predict the yearly number of VCR's sold under the following conditions.
If the minimum salaries is set above the equilibrium salary, does this make a shortage or a surplus of labor, or does it create a lower wage rate
Is there which you can do to hedge your bet. That is, is there some way to ensure that you won't lose all of your money in case the value of the franc plummets.
Elucidate the impact of globalization on domestic governance. Identify and explicate at least three significant factors requiring domestic changes.
Compute the coefficient of price elasticity for the price ranges given in the schedule and complete the first column of the table. What do you notice about the algebraic sign of the values you have just computed? Why is this so?
Create another diagram; once again start from an initial macroeconomic equilibrium. Explain both the SR and LR impact of a contractionary AS shock on Y. Use the appropriate diagrams and provide a brief real world example of this type of shock.
What were some of causes of stagflation of 1973 and 1979? In what ways were these episodes of stagflation different from great depression of the 1930s?
Explain how much will your industry's total revenues (revenues from both products) change if you increase the price of good X by 1 percent.
What do you think large corporations like Microsoft and WalMart should be regulated more or less than they are.
You have the following information concerning the production of wheat and cloth in the United States and the United Kingdom:
What price and quantity will the monopolist produce at if marginal cost is a constant$4 ? Compute the dead weight loss from having the monopolist produce, rather than the perfect competitor
List the four assumptions for the Monopolistic competition model. Now explain how the market will adjust in the long run and draw a corresponding graph for the representative firm in the long run. (Explain your answer.)
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