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Question
Several macroeconomic variables decline during recessions. One of these variables is the GDP.
1. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the expected declines in these economic variables.
2. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How is this possible given business cycles and macroeconomic fluctuations? What factors explain the upward trend despite the cycles?
What is the resources required to produce the things we would like to have--these are land, capital, labor, and entrepreneurs.
1. Suppose the price of a bond is initially $900 but increases to $950. What is happening to the interest rate on that bond?
According to the immigrant assimilation related studies, the typical earnings profiles of immigrants start lower and literature, born. In the space are steeper than the earnings profiles of the native for years below, u the vertical axis and the h..
A car valued by the owner at £9,900 was insured for an annual premium of £360. The annual premium was paid by monthly instalments. A service charge of 7.5% of the annual premium was added.
Suppose that a researcher, using wage data on 250 randomly selected male workers and 280 female workers, estimates the OLS regression Wage = 12.52+2.12× Male,R^2 = 0.06,SER = 4.2, (.23) (0.36) where Wage is measured in dollars per hour and Male is ..
In Federalist 10, James Madison argues there are two ways to deal with "Factions". Dealing with the "causes" of factions OR controlling their "effect". Which way does Madison say is the best for dealing with the "mischiefs of factions"? Why does M..
Use hypothetical numbers to explain. Information you need to provide include--state the product you are selling, the price of the product, the quantity of the product you produce, fixed costs, total cost, figure out total revenue, total and averag..
Imagine that you are trying to predict the level of real per capita GDP in a certain economy in the year 2070 (say, using real dollars of some base year).
Suppose the demand for Digital Video Recorders (DVRs) is given by Q = 250 - .25p + 4pc, where Q is the quantity of DVRs demanded (in 1000s), p is the price of a DVR, and pc is the price of cable television.
What is the importance of consumer preferences? How does it affect demand?
Last month, Rick's Bike Shop, Inc. increased the price on the 22-ounce can of Camp A bearing grease by 4.5 percent. In response, sales dropped by 9 percent. A) Calculate the point price elasticity of demand for Camp A bearing grease. B) Calculate..
Suppose there are two consumers, labeled 1 and 2, each of whom has a dollar of money income which can be spent on either private good x or public good g.
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