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Ben Bernanke has said that the Federal Reserve is going to continue its latest round of Quantitative Easing until unemployment falls to 6.5%. How fast will the economy have to grow to bring unemployment down to 6.5% by this time next year? Assume that potential output grows at 3.5% a year. How fast will it have to grow each year to reach 6.5% unemployment in 3 years (2016)?
What is business cycle? Describe the four phases of the business cycle. Where on the business cycle do you think the U.S. economy is today?
Discuss the impact of foreign economic aid from rich countries to LDCs and should developing nations continue to seek such aid?
Elucidate the academic curriculum and dicuss the challeges confronted by scholars of the following areas of specialisation.
A monopolist encounters the following demand curve: P=120-0.02Q-What is the level of production, price and total profits per week?
Illustratr what is the Keynesian solution to a recession or depression. Explain how does the Keynesian multiplier work.
As a manager of a financial planning company you have two financial planners, Phil and Francis. In an hour, Phil can produce either one financial statement
Use the data in the table to the right to answer the following questions. What is the external cost per unit of production? What level is produced if there is no regulation of the externality?
What is the marginal opportunity cost of services in each country? Who has the comparative advantage in factory-stuff?
The consumption taxes the government collects in a given period are not restricted to be levied on consumption from only in that period.
Suzy knows that she has maximized her utility, as she is on her budget constraint.
From the following information, find the marginal propensity to consume, compute the expenditure at each level of GDP, and find equilibrium GDP:
Discuss an adjustment process using AD and AS analysis that will ensure that the economy will return to full employment.
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