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Suppose the consumtion function is ( C = $500 billion + 0.9Y) and the government wants to stimulate the economy. By how much will the aggregate demand at current prices shift intially (before multiplier effects) with
(a) A 50 billion dollar increase in government purchase?
(b) A 50 billion dollar tax cut?
( c) A $50 billion dollar increase in income transfer?
Find the Cantina's minimum efficient scale and its average cost when operating at minimum efficient scale and find the Cantina's marginal revenue function.
What are two or three methods currently being used to encourage economic growth for the typical company in Hong Kong and typical company in Singapore?
Bush proposed for government expenditures in the case of a recessionary gap? What is the effect of his policies on the federal government budget?
Given that the economy raise by the banking system and creation of money through lending, if one market is down are we to suppose that these other firms that are facing increased demand will borrow enough to counter balance the amount
Discuss the use of Gross Domestic Policy (GDP) to measure the business cycle. Discuss the roles of government bodies which determine national fiscal policies.
Suppose perfect competition. Yoland is a small nation that takes world value of corn as given. Its domestic supply and demand for corn is given by the following;
Drowns indifference curve for consumption and hours of work. (Hint: in class we discussed indifference curves for consumption and hours of leisure
Explain why this strategy may, in fact, be rational. Also, identify at least two other strategies that might permit Argyle to earn higher profits.
When all people use economic reasoning, incompetence is impossible, because if the profit of decreasing that inefficiency were greater than the expenses, the inefficiency would be eliminated.
Illustrtae what were the challenges that these policy makers perceived at the time in terms of both the Business Cycle and broader social policy.
Utilize the marginal productivity theory of labor demand to predict the impact on the firm's employment level of the following events.
Elucidate and distinguish between the concentration ratio and the HHI. What ate the limitations of these measures within the context of the pharmaceutical industry.
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