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The Federal Reserve purchaseses $1 million in U.S. Treasury Bonds from a bond dealer, and the dealer's bank credits the dealer's account. The required reserve ratio is 15 percent, and the bank typically lends any excess reserves immediately. Assuming that no currency leakage occurs, how much will the bank be able to lend to its customers following the Fed's purchase?
one laborer can only produce either 5 unots of necessity per month or 10 units of luxury per month. On a graph draw the ppf. where does the ppf intersect on thy axis and where does the ppf intersect on the x aaxis.
If your rival advertises and you do not, you will make $1 million and your rival will make $3 million. Does rival have a dominant strategy. What is Nash equilibrium for one-shot game.
For what type of goods does law of one price hold quite well. Since PPP rarely holds at any point in time, is re any substantive meaning to terms overvalued or undervalued currency.
Illustrate what advice would you offer Kyle also Chad when they are ready to present their business plan to a banker.
You had chosen to take a trip during spring break if you had not gone you would either work a temporary job or studied for exams the opportunity cost of your trip.
Substitute the values of L* and K* in the total cost equations and obtain an expression for the total cost C*. then calculate the average and marginal costs and plot them. Illustrate what is the cost elasticity of output.
Suppose you discover that average fixed costs are $2 and average variable costs are $7. Indicate what the firm should do.
Illustrate what is your opinion of the restaurateur's decisions. Would you recommend that she accept the $66,000 offer.
Explain why would a country (for example China) choose to keep their currency relatively pegged to the U.S. dollar.
Illustrate what is the equilibrium number of video arcades. Show how you arrived at your answer.
How can makers of flat-panel TVs earn economic profits during the first few months after the introduction of new models? What economic forces result in the dissipation of economic profits earned by manufacturers of flat-panel TVs?
Explain how convinced are you that the new 30-gallon trash bag is the strongest such bag on the market.
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