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The federal reserve expands the money supply by 5 percent.a. use the theory of liquidity preference to illustrate in a graph, the impact of this policy on the interest rate.b. use the model of aggregate demand and aggregate supply to illustrate the impact of this change in the interest rate on output and the price level in the short runc. When the economy makes the transition from its short run equilibrium to its long-run equilibrium, what will happen to the price level?d. how will this change in the price level affect the demand for money and the equilibrium interest rate?e. is this analysis consistent with the proposition that money has real effects in the short run but is neutral in the long run?
Calculated the point price elasticity of demand for Papa burgers and calculate the optimal price for Papa burgers if marginal cost is $1 per unit.
the company ABC Inc. bought a machine for automatic playback of " software " at a cost of $ 20,000 ( the "original cost" ) . The expectation was that the machine had a useful life of 5 years , after which have a residual value of $ 5,000 ( "salvage v..
Critics of the minimum wage discuss that as an antipoverty device it is "poorly targeted." By this they mean that:
Explain the concept of natural capital. Why is the World Bank concerned about protecting the natural capital of developing countries? How would you characterize the investment climate in India?
Analyze five reasons why demand for this product could shift and analyze five reasons why supply could shift.
What choice of payment systems will be used and how you will address privacy and other relevant ethical concerns - how you will address legal issues connected with the e-commerce business
Define the factor that estimate the slope of the LM curve and whether an increase in theses factor will make the curve flatter or steeper.
Why is income inequality regarded by many people as a form of market failure and describe how tax creditsare used in New Zealand to modify the distribution of income
How does a generic drug differ from its brand name, previously patented equivalent Explain why the price of a brand name drug typically declines when an equivalent generic drug becomes available Explain how that drop in price affects allocative ef..
Identify 4 threats caused by globalization. Explain how globalization affects the gross domestic product (GDP).Explain your thoughts on globalization in your own words (e.g., is it bad or good Why or why not Does it affect all countries).
What specific standard is applied to a firm whose only contact with a forum state is through its Internet site? If you had an eBusiness, what could you do in order to limit your liability to suit in multiple jurisdictions?
Consider another policy where the government could impose a price ceiling p on the monopolist. If the government were interested in maximizing social surplus, what would be the optimal value of p when considered from the point of view of the gover..
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