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Using the library or the Internet, find some recent projections for the future path of the U.S. govt. debt as a percentage of GDP. What assumptions are made about (i) govt. spending, (ii) taxes, and (iii) economic growth?
Even in firms in a monopolistically competitive market collude successfully and fix price, economic profit will still be competed away if there is unrestricted entry. Explain. Will price be higher or lower under such an agreement in long-run equil..
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 t..
Draw a graph showing how output evolves over time, and explain what happens to the level and growth rate of per capita income and explain what happens to the economy over time and in the long run.
"If every employer hired its best qualified applicants for a job at every opportunity, the phenomenon of black poverty (as distinct from poverty) could be wiped out in ten years." Do you agree/disagree? Comment.
You expect to receive a payment of $104 one year from now. Your discount rate is 4 percent. What is the present value of the payment to be received. Suppose that the discount rate is 5 percent.
Consider the process by which the economy self-corrects following an initial increase in aggregate demand. This process is similar to the process of self-correction following an initial decrease in aggregate demand, but in reverse.
In your discussion, comprise the reason for the lawsuit, the outcome of the trial and how this lawsuit affected Microsoft and consumers.
saving exceeded investment and the government is running a balanced budget. What is likely to happen What would happen if the government were running a deficit and saving were equal to investment
The market for toasters is a competitive market. Suppose that the quantity of toasters supplied per year depends as follows on the price of a toaster:On a piece of graph paper, plot the supply curve for toasters. How does the quantity supplied of toa..
Illustrate what does, and what doesn't, the Solow model tell us about the sources of economic growth and the best policies for attaining high per capita incomes.
A has $1.5 million in sales, a Lerner index of 0.57 and a marginal cost of $50. The firm competes against 800 other firms in its relevant market a. What price does this firm charge its customers? b. What is the firm's markup factor? Wh..
They continue this way until either a) a plan has been approved, or b) only P5 is still alive (in which case he keeps the whole treasure). We'd like to know what happens with the treasure. Before we consider the outcome, there are a few important ..
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