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Question 1.
If money is neutral in the long run, why use monetary policy at all? Explain when/how monetary policy can be effective and when it may not.
Question 2.
Ginger favors self-sufficiency and believes all nations are better off not exposing their businesses to international competition. Mary Ann favors trade and believes nations will see their wealth increase as a result of it. Choose the person who mainstream economists would support and explain the reason for this position.
identify strategies that allow the company to succeed. Clearly explain how you would position the company to move forward socially, ethically and financially,
Discuss Eli Lilly's practice from the perspectives of utilitarianism and rights. In your judgement, is the policy of using homeless alcoholics for test subjects morally appropriate?
3. The long-run effect of Federal Reserve action (or inaction)in the AD-AS model The following graph shows the short-run aggregate supply (SRAS) and aggregate demand (AD) curves for a fictional economy that is producing at point A (grey star symbol),..
Describe the phenomenon of market foreclosure. Specifically, describe how a vertical merger may "substantially lessen competition or tend to create a monopoly" through virtue of market foreclosure.
Examine the market for tickets for popular sporting events through the supply and demand model. Consider the following questions: How often are you able to buy a popular event ticket (for example, the Super Bowl) at face value? How are the tickets or..
Why do you think that economic profit may be better measure of profit than purely accounting profit? What some explicit and implicit costs of attending college
If people were rational wealth maximizers, what result would we expect from the "ultimatum game"? What results do we actually find in experiments?
Jamie Lee and Ross, happy newlyweds with a new home and twins on the way, are anxiously awaiting their new bundles of joy. Ross was understandably nervous.
If the two countries do trade, each will completely specialize in producing the crop for which it has a comparative advantage.
Using the elasticity estimates in the table above, classify the price elasticity demand as elastic or inelastic. Explain your reasoning. Explain the implications of those classifications on tax revenue collections when the per-unit tax increases a..
suppose honey is produced in a beehive using bees and sugar. each honey producer uses one beehive which she rents for
How to describe the efficient markets hypothesis with evidence. Consider how to explain the view of those economists who are skeptical of the efficient markets hypothesis.
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