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A nonprofit organization that promotes collective business interests for a city, state or other geographical area or for a group of similar businesses is referred to as?
Consider an industry with a small number of firms with market power. Suppose they sell identical products and have identical cost of production. If each firm posts a price without knowing the prices
Two indicators of economic development include Gross Domestic Product (GDP) and the Human Development Index (HDI). What is the difference between these two ways of measuring levels of economic development. Identify an advantage and disadvantage of..
We have assumed that consumption depends only on disposable income. Now suppose that consumptions depend on both disposable income and interest rate. As interest rate increase, consumption decrease. a. If consumption suddenly begins to depend on in..
In Europe, it was decided that farm subsidies would be paid to farmers who protect the environment as well as producing food. What would this mean for farmers who receive the subsidy?
ben bernanke has said that the federal reserve is going to continue its latest round of quantitative easing until
Suppose the demand curve for a good is given by the equation P = 300 - 1/4 Q and the supply curve is given by the equation P = 75 + 1/2 Q, where P represents the price of the good (measured in dollars per unit) and Q represents the quantity of the go..
Choose a product you have purchased in the past month from a clothing or shoe store. Describe how each of the 4 factors contributed to the elasticity of the good. Is the product considered elastic, inelastic, or unitary elastic
a. Calculate the effective rate of protection if there is no duty on steel imports. b. Calculate the effective rate of protection if the importing country imposes a 20% tariff on steel imports. c. Suppose it also takes $4000 worth of copper (besides..
A cartel is often an unstable relationship as individual members both seek and seize the opportunity to cheat on the agreement and improve their own position at the expense of others.
What will happen to Y (GDP), r (real interest rate), P(price level), and I(investment), in the short run ?The answer should indicate will these values increase or decrease in the short run.
Businesses spend $1,000 in new investment spending. And, foreigners spend $500 on exports. In order to avoid any problems of inflation or unemployment, the government should have a budget deficit or surplus of:
To finance this subsidy every pair of stilts purchased by someone who is tall is taxed at a rate of T percent.
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