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If the aggregate-demand curve is given by the equation P = 400 - (2 ´ Y), and long-run aggregate supply = 100, the long-run equilibrium price level equals
Budget Constraint- Provide an interpretation for the budget constraint. Explain what the slope of the budget constraint is. What is a point of tangency?
A pharmaceutical company has hired you to perform an economic analysis on a currently ongoing project. Experts from the company have estimated the market for the drug and thus the potential revenues for the drug are knows, but the relevant costs are ..
A main conclusion from Walt Rostow's stage theory was that
The U.S. capitalist system relies on a theoretical model, the circular flow model, with three basic elements interacting together to ensure that our needs and wants are provided. The three sectors are (a) consumer, (b) business, and (c) government
For what rate of inflation, both the options are equally attractive ? Describe two different methods of "Depreciation" an equipment / plant may undergo (with numerical example)
List the three most important expenditure programs of the federal government. How do these differ from the three most important expenditure programs of state and local governments? Explain why it makes more sense for the federal government to purchas..
Consider a free market with demand equal to Q = 60-4P and supply equal to Q=2P. What is the value of consumer surplus? What is the value of producer surplus?
Calculate national income. if there were 80 million people in this country, what would the GDP per-capita be? if all prices were to double overnight, what would happen to the values of real and nominal GDP? nominal____ real gdp____
Assume the current market price of candles is such that there is a surplus.
Explain why when using the expenditure method for determining GDP do we not include expenditure on intermediate goods, but when using the income method, we use the income of factors of production for both intermediate and final goods production?
Calculate the forward premium on the British pound for the Dutch investor where exchange rates are in euros per pound. Is it positive or negative? why do investors require this premium/discount in equilibrium.
Economic value added measures business performance more accurately than conventional accounting earnings because _________.
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