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Right now the Federal Debt is over 17 trillion dollars. Why has interest rates stayed low even though the Federal Government continues to borrow more and more? Should there not be a crowding out effect caused by this level of Federal Debt? Do not forget to discuss the fact that government demand for funds is interest-inelastic.
Making the managers as role model: Having managers as role models is another way of promoting ethical behavior. For this purpose, managers need to be chosen with care and due consideration. This will be beneficial in the following ways.
Classify the following as automatic stabilizer, discretionary fiscal policy, or not fiscal policy a. the federal government increases spending because of the war in Iraq and Afghanistan b. the Federal Reserve increases the money supply
Suppose the impact on the interest rate of a $3 increase in government spending can be eliminated by a $1 increase in the money supply. If "the" multiplier is 4 and the income multiplier with respect to the money supply is 3, what mix of monetary and..
A goal of expansionary monetary policy is to: Lower interest rates are generally charged on more risky investments and on securities that have longer maturities. The barter system requires the double coincidence of wants to be fulfilled.
To avoid the problem of double marginalization
Along the political spectrum of liberal to conservative, in what style might Le Locle Examiner be expected to be written? Explain your answer.
If you were the CFO of a company that had to decide on hundreds of potential projects every year, would you want to use sensitivity analysis and scenario analysis or would the amount of arithmetic required take too much time and thus not be cost-effe..
Illustrate what are the factors which involve the provide also demand of which good or service. How do you expect the demand also provide of which good or service to change in the next yr.
The salvage value of either alternative is negligible at any time. If MARR is 10% per year, what present expenditure for the auxiliary equipment can plan you justify spending? Assume that you need the heating system in?nitely.
Lotteries and expected utility. An expected utility maximizing decision maker declares that he prefers a lottery that pays $5 and $10 with equal probability to a lottery that pays $10 with probability 3 4 , and $0 with probability 1 4 . Which would t..
Nonmarket work includes time spent
Rather than the short run effects of decreasing government spending, allow a self correcting economy to bring the model back to equilibrium, the government decides to act to eliminate the output gap through monetary policy. Explain how the government..
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