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Questions
1. Since the economy recovers quickly after COVID-l 9, (i) many discouraged workers re-enter the job market to look for jobs, and (ii) the government increases its spending on research and development. Please use the dynamic AD, SRAS, and LRAS framework to examine the joint impact of (i) and (ii) on the employment, price level, and output in the short run and the long run.
2. In 2022, (l) the interest rate in Australia and New Zealand was 3.1% and 4.25% respectively, and (ii) their respective GDP growth rate was 5.9% and 2.7%. While taking other factors as given, use foreign exchange market and static aggregate demand-aggregate supply diagrams to illustrate and explain the joint effect of (i) and (ii) on the Australian real GDP.
You are the Chief Security Officer for a Video Club Store; List the measures that you will institute to minimize the Business Recovery time.
Consider two countries that are freely trading in differentiated products. Each producer in the industry is subject to increasing returns to scale, derived from fixed costs of production. In particular, the cost function of a firm in the industry is ..
A bag contains 15 red marbles and 13 blue marbles. Two marbles are randomly drawn without replacement. Find the probability that both marbles are red.
What is the difference between relative factor endowments and relative factor intensities? What does the Hecksher-Ohlin theorem say about home versus foreign countries while they remain in autarky?
Write a thorough analysis of unemployment, defining the various types of unemployment, full employment, and the natural rate of unemployment. Describe the impact of unemployment on the economy and your solutions to lower unemployment. Remember to ..
Briefly describe the business that you propose to study and describe the government impact that it has faced or would be likely to confront.
Solid Waste Incineration. Inc (SWI) is building a new plant in an attainment area. Can cost effectiveness be considered?
Changes in tastes reduce the demand for wheat substantially. What happens to price and output in the market for wheat? What happens to the price, output, and profits of the individual wheat farmer in the short run? Illustrate with diagrams.
A tax cut has just been announced. Congressman Growth states that its effect will be on the supply side, Congress Stable states that its effect will be on the demand side. Demonstrate graphically the effect of the tax cut on the price level and outpu..
Jack receives satisfaction(utility) from eating Lobster(L) and eating meat(M). He has an income of $1,000 and spends 25% of it in lobster and meat. The price of a pound of lobster is $50 and the price of a pound of meat is $10. Find the optimal consu..
Swee Yee is a producer of product A in city SDK. At the end of 2019, the total production was 25,000 units. During the COVID-19 pandemic, Swee Yee was forced to
What would your recommendation be, and why? You cannot use the constant growth model! Don't try it. You will not get the right answer.
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