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Use Ad-As model to illustrate and explain how the authorities can use monetary and fiscal policies to stimulate the economy. What side effects would such policies have on the general price level and total income of an economy?
Explain the side effects graphically as well as theoretically. Provide one (1) policy instrument for both fiscal and monetary authorities used in stimulating economic growth. [TIP: illustrate the impact with a normal/short-run AD-AS curve(s)].
Assume Madagascar is hit by a hurricane (actually occurred in 2000), What will the new equilibrium price be in the market? Label that point b
Differentiate at least two different eighteen month forecasts for Gross Domestic Product (US) and graph them. Include a reconciliation of differences between forecasts for GDP and a rationalization for which forecast you believe is most accurate.
Elucidate how your policy would help increase aggregate demand.
a. Derive the firm's demand for labor and capital. b. Derive the firm's cost function, C(wL;wK; Y ). Simplify it as much as possible - one term. c. Derive the firm's supply function.
An industry consists of 5 firms, with sales of $100,000, $500,000, $400,000, $300,000, and $200,000. Now, suppose the largest and smallest firms merge. Calculate the four-firm concentration ratio (C4) before the merger.
Explain how the age composition of the future population might impact our economy.
Find the first-order condition for the value of Gj chosen by the representative from district j, given the values of Gi chosen by the other representatives and
In today's economy innovations and improvements in technology play a key role in firms to stay competitive in the global economy. Explain and discuss how the technology affects the cost of production
explain the neo-classical theory of trade and show the difference between this and the classical approach as wellas the
What is the value of the average propensity to consume at $200 real GDP What is the value of the average propensity to consume at $400 real GDP What is the value of the average propensity to save at $200 real GDP What is the value of the average prop..
ECON 3P28: ENVIRONMENTAL ECONOMICS PROJECT. Write the total cost of pollution control in terms of e. Graph this total cost as a function of e
What changes took place during the Industrial Revolution that made sustained economic growth possible
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