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Mainstream economists usually favor the use of monetary policy over fiscal policy to counter the impact of business cycles.
A. Briefly explain why economists are generally skeptical about the use of fiscal policy to counter the impact of business cycles.
B. Give 2 reasons why monetary policy is generally a more appropriate tool to counter the impact of business cycles.
C. Nevertheless, during the Great Recession (2007/2009) most economist advocated an active role for fiscal policy. Use your knowledge of the AS/AD model to explain why this may be the case in major recessions.
What is the upper and lower control limits for an S chart, based on the sample size of 7, a grand mean of 40, and a average sample standard deviation of 7.
Illustrate her optimal choice on a graph, using indifference curve-budget line analysis. b. Suppose that the price of a bagel increases to $5. What is Lisa’s optimal choice for breakfast now? You do not need to illustrate this new choice in a gra..
Is there significant evidence (LaTeX: alpha=0.05a=0.05) that the new treatment would have a lower proportion of plants having a toxic level of nickel compared
Compare and contrast the lives and contributions of "the men who built America" to the lives of their workers. How and what did each of these groups contribute to country? How did people like Rockefeller and Carnegie rationalize their extreme wealth?
Explain by how much does the total amount of deposits in the banking system increase. By how much does the money supply increase.
Under perfect competition, at the profit maximizing level of output:
6 firms makeup most of an industry and have the following market shares: Calculate the Herfindahl-Hirschman Index (HHI), showing all work, given present market shares. Calculate the Herfindahl-Hirschman Index (HHI), showing all work, assuming Firm C ..
Suppose life is discovered on Mars and that it turns out to be quite sophisticated. In fact, perfect competition prevails everywhere on the planet. Which of the following characteristics of Martian firms are we likely to observe.
q1. assume the unit cost for pogo sticks is 40 in north pogo as well as 8 in south pogo while the current exchange rate
Question 1: Would you expect endangered species to be more frequently generalists or specialists? Explain your answer.
Compute the firm's profit from part d. Solve algebraically for the profit maximizing quantity (QM) and price (P M). You should get the same answer as in d.
Interest rates in the United States have fallen in recent years. In terms of the loanable funds market, which combination of changes in the supply of and demand for loanable funds could best explain this?
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