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In the context of a Keynesian open-economy income model for a country, carefully explain the impact of each of the following autonomous events upon equilibrium income in the country and upon the country’s current account balance: (a) an increase in domestic investment; (b) an increase in exports; and (c) a simultaneous and equal autonomous increase in exports and imports.
Even if firms in a monopolistically competitive market collude successfully and fix price, economic profit will still be competed away if there is unrestricted entry. Explain. Will price be higher or lower under such an agreement in long-run equilibr..
Visit the Bureau of Labor Statistics and click on the links for state employment and unemployment. Look at your home state and describe what changes have taken place in the workforce and unemployment rate.
Why might it be difficult for the Fed to formally adopt inflation targeting? Would inflation targeting be a good policy for the Fed in the present economic environment
Since fall of 2004, increasing oil prices over $70 per barrel in spring of 2006 have frequently ended stock market rallies and led to refuse in all major stock indexes.
Elucidate which economic concepts, sure as comparative advantage, apply to your firm. Explain how these economic concepts can be used to address the firms's problem and opportunities.
Determine how European Union got into its current economic problems. Explain how did they get into these problems, how serious are problems and how will they realistically solve their problems.
Describe the economy's stage in the business cycle and evaluate current macroeconomic conditions.
pollys pet store on the island of atlantis has a local monopoly on the grooming of dogs. there are 1000000 citizens of
Can you rank the stocks in terms of risk Can you say anything on the relation between the stocks and the market Calculate the expected return for the proposed allocation. Can you relate the proposed investment with the market
The ten firms have banded together to form a cartel, and the cartel sets the monopoly price. The cartel agreement limits each firm to an output of one-tenth of the total amount demanded at the cartel price.
Illustrate what conclusions can you draw about this period by comparing this cycle to the previous business cycles. You may want to check the links to the two most recent Announcement Dates for further information.
Draw Beatriz' demand curve. Using the method described in Section 6.2, compute the change in her consumer surplus for the proposed tax increase.
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