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Explain the differences between typical demand side fiscal policy and supply side fiscal policy. For each of the following fiscal policy proposals, determine whether the primary focus is on aggregate demand or aggregate supply or both.
A $1000 per person tax reduction.
A 5% reduction in all tax rates.
Pell grants, which are government subsidies for college education.
Government sponsored prizes for new scientific discovery.
An increase in unemployment compensation
Explain how do open market operations work through the fractional reserve banking system to impact the money supply and interest rates.
State Explain how IKEAs expansion has reenergized mature markets around the world also changed the competitive situation.
If the supply of turkeys in a particular November turned out to be unusually small, do you think a turkey shortage would result? that is, would shoppers be unable to purchase a turkey for thanks giving meal? why or why not?
In the founding documents of the United States of America - in this case the Articles of Confederation and the Constitution - does the use of checks and balances seem to provide for the protection of a pluralistic system of government with multiple a..
Formulate a model for the problem
An average worker in Brazil can produce an ounce of soybeans in 20 minutes and an ounce of coffee in 60 minutes, while an average worker in Peru can produce an ounce of soybeans in 80 minutes and an ounce of coffee in 120 minutes. Draw fully labeled ..
A $10,000 par value bond with coupons at 8%, convertible semi annually, is being sold three years and four months before the bond matures. The bond is redeemable at $C, and purchase will yield 6% convertible semi annually to the buyer. The price of t..
A vendor is offering an extended repair contract on a machine. The firm's experience is that this will cover repair costs over the next four years of $200, $200, $400 and $500. At 6%, what is the extended repair contract worth now?
What effect, if any, does each of the following events have on the price elasticity of demand for corporate-owned jets?
The cost of capital is. To produce where marginal cost is equal to marginal revenue is called
In a two-sector (manufacturing and agriculture) specific-factors model:
Suppose there are only two countries, Nookshire and the Anniston. There are only two products, ale and swords. Both countries produce these products. Production of both products requires the factors capital and labor as inputs. According to the Hecks..
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