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Suppose inflationary pressures are building up in an economy. Is this economy likely to experience a recessionary gap or an inflationary gap? Explain how the Fed could use monetary policy to combat inflation. A complete answer must include an explanation of the policy tools that can be used and their effects on the money supply, interest rates, and aggregate demand.
A company in a perfectly-competitive industry where market price of output prevailing is $50 per unit has a cost function where;
Suppose annual salaries for sales associates from a particular store have a mean of $32,500 and a standard deviation of $2,500. Calculate and interpret the z-score for a sales associate who makes $36000. Suppose that the distri..
Illustrate what is your opinion and brief description about the microsoft anti trust case. Need your opinion about the outcomeand if the solution was fair
Elucidate the maximum amount that would pay for an asset that generates an income
The Effects of the Great Recession on the Central Banks Doctrine and Practice, critically and briefly analyze the direction of changes in monetary policy
Compute point elasticities at prices of 5 and 9. Is the demand curve elastic or inelastic at these points.
Assuming individuals hold no cash (all cash is in bank vaults as reserves), calculate the simple money supply from the following reserves requirements and deposits in the systems. 5 Points each, 30 points subtotal
Describe (in a sentence or two) the short run profit maximization condition when labour is the only variable input?
To finance this subsidy every pair of stilts purchased by someone who is tall is taxed at a rate of T percent.
What is the profit-maximizing price-output combination and what are the levels of the profits and consumer surplus at that point? What is Dead-weight-loss?
Assume that initially the price is $50 in a perfectly competitive market. Company are making zero economic profits.
If the government decides to intervene to return the economy to full employment, elucidate what will happen to the economy in the short run and in the long run.
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