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(a) Plot crowding out for the following situations on a graph, and explain why you get the results:
(i) Perfectly inelastic ID curve (vertical) & perfectly elastic SS curve (horizontal).
(ii) Perfectly inelastic SS curve (vertical) & perfectly elastic ID curve (horizontal).(b) Under which of the above two scenarios should the government use expansionary fiscal policy to boost the economy during a recession?
Draw linear PFF representing the tradeoff between hot dogs and buns with 120 million workers available.
Assume a decrease in consumers' incomes causes a decrease in the demand for chicken and an increase in the demand for potatoes. Which good is inferior and which is normal? Explain your reasons.
Identify a person in an organization, or event(s) that should be given credit for the relatively low, stable rate of inflation we've had in the United States since the late 1980s?
What price would Soft Rock have to charge to sell 2,000 T shirts? Compute the own price elasticity of demand when the price goes from $5 to $4.
Calculate her utility maximizing choice of food and clothing and calculate the level of utility her optimal consumption bundle gives to her.
Give an example of a decision that is rational ex-ante but irrational ex-post. Under what conditions will this ratonality be different and under what conditions will the rationality (ex-ante and ex-post) be the same?
Use technology and information resources to research economic problems and issues and write clearly and concisely about economic problems and issues using proper writing mechanics.
Make sure your explanation is clear and that you provide specific examples. Any quotes from the readings or external materials must include quotation marks and an in-text citation.
Suppose the demand for computers. For each of the following, state effect on demand, find the equation of the demand curve if consumer incomes are $30,000,
Problem based on Oligopoly and demand curve, Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?
What are the current implications of high energy costs in the information sector and what is the potential significance of using cloud computing technologies to lower energy consumption?
A firm has two prodcuts and two customers. Customer 1 is willing to pay $9 for Product A and $4 for PRoduct B. Customer 2 is willing to pay $7 for Product A and $5 for Product B.
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