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Suppose a freeze in Florida wipes out 20% of the apple crop. How will this affect the equilibrium price and quantity of pear? Assume that the apple and pear are substitute to each other.
Compare the graphs you've created for Learning Activity 3 and 4 in the Learning Activities. 1.Examine the graph you've created for Learning Activity 3 and determine the opportunity cost of producing 25 more units of ag goods. whether you're increas..
Most systems of medical insurance substantially lower the out-of-pocket costs consumers have to pay for additional units of physician services and hospitalization. Some reduce these costs to zero.
When borrowing money, what is the better gauge of our true cost of borrowing - the nominal rate of interest or the real rate of interest? Please explain.
Explain why in a monopolistic industry, if demand and cost curves are the same as those of a competitive industry, and if the demand curve has a negative slope and the supply curve has a positive slope, then monopoly output will be lower and price..
How might budget deficits affect long-term economic growth?
The federal funds rate is currently 3 percent. The equilibrium real federal funds rate is 3 percent, and the weights on the output gap and inflation gap are 0.5 each. The inflation target is 1 percent. Is the federal funds rate currently too high o..
EZ Sharp industries Inc manufactures the Keen Edge line of diamond abrasive cutlery sharpeners for home use. Dia Sharp holds a patent on ist unique design and can earn substantial economic profit if it prices its Keen Edge products wisely.
Use the aggregate demand-aggregate supply model to illustrate graphically the short-run and long-run impact of this decline on output and prices.
Elucidate what would you expect to happen to the nominal yields changes in inflation expectations and required real yields occurred.
When the coporate tax return was filed this year, you began depreciating the jet by using MACRS. Today you received a letter from the IRS informing you that because your company occasionally rents the airplane to others, it is considered a commerc..
Illustrate what are possible causes of a movement up or down along the demand curve. What are possible causes of a movement up or down along the supply curve.
What is the current unemployment rate? (hint: the update on the unemployment rate is usually released the first friday of each month) Do you think this unemployment rate is generally considered to be above, below or equal to NAIRU?
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