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Suppose that inflation is 2 percent, the Federal funds rate is 4 percent, and real GDP falls 2 percent below potential GDP. According to the Taylor rule, in what direction and by how much should the Fed change the real Federal funds rate?
Steve believes that Monica has a 25% chance of be Illustrate what is Steve's expected utility from buying.
Madelyn owns a small pottery factory. She can make 1,000 pieces of pottery every year also sell them.
Based on this example, discuss and defend whether or not big countries such as the United States should be worried about what is happening in small countries such as Greece. Elucidate general conclusions from this case that might be applied elsewh..
Sketch the firm's isoquant and isocost lines and show its current equilibrium in the use of labor and machines when producing 200 gizmos per month.
Illustrate what is the opportunity cost of a potholder for Martha. What is the opportunity cost of a potholder for Stewart.
Calculate real GDP in each year, and the percentage increase in real GDP from year 1 to year 2 using year 1 as the base year. Next, do the same calculations using the chain-weighting method.
the changes that would occur to the jalapeno pepper market if suddenly Mexican food became popular, especially spicy Mexican food.
Illustrate what does this theory predict about the term structure of interest rates in terms of how the yield of long term bonds are related to yields on a sequence of 1 year bonds.
What is the standard deviation for the class? b. What percentile did you score in?
Ssuppose which the benefit to the villagers of each additional cow grazing on the commons declines as more cows graze as each additional cow has less grass to eat than the previous one.
Now looking at this scenario, would company rather increase wages slightly, not so much that it will decrease profits, but to a point where productivity may rise higher than what was originally given to employees.
Suppose that there are freezing temperatures in Florida. At the same time the press reports that drinking orange juice significantly reduces the risk of stomach cancer. Predict the effect on equilibrium price and quantity.
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