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Many cities have experienced a substantial decrease in the amount of garbage being collected after they changed from levying a flat tax on each household to a system where the homeowner is charged a fee for each bag or can picked up. Would this have been the result of a change in demand or a change in the quantity demanded? Would you recommend the flat fee or the fee per bag? Why?
Suppose the keynesian demand for money is given by L(Y,r)=y/8-100. If income(y) equals 12000 million and the interest rate(r) equals 0.05, calculate the value for the velocity of money.
The cost to a cinema owner of letting someone see a movie for free is
What is the Bretton Woods system? Why was it created and why did it collapse? How has this collapse ushered in more volatile exchange rate and frequent financial crises?
The government often intervenes when private markets fail to provide an optimal level of certain goods and services. For example, the government imposes an excise tax on gasoline to account for the negative externality that drivers impose on one anot..
How will this fee affect the profit maximizing price and quantity? How will this fee affect the monopolist's profit?
Compute the resulting utility if the population were on million higher and one million lower than the optimum.
What is the structure of the Fed? What is the difference between the Fed and the Treasury? What are the goals of the Fed? What actions are at the disposal of the Fed?
q.use the following hypothetical demand schedule for movies to do exercises 1-4.quantity demanded price elasticity100
Explain the statement that "an individual bank has little ability to expand the money supply unless all the other banks expand in step". Does that simply because a conduct of one single bank cannot change the aggregate money supply?
For several decades the labor force participation rate of women increased steadily but average hours worked per employed woman decreased steadily. Holding all other factors constant, could rising wage rates of women explain both phenomena? Explain. [..
A negative externality causes private markets to produce a level of output that is :
According to national income accounts, investment always equals savings in a closed economy. only in equlibrium would savings be equal to investment. hence, we are always in equlibrium. true or false.
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