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As outlined in the first two chapters of BSZ, economics focuses on the choices that people make. In the simplest of terms, we can consider a choice to be rational if and when the benefits of that choice are at least as great as its costs (or, conversely, if the costs are no greater than the benefits). Similarly, we say that individuals and organizations operate efficiently if their choices are designed in the best possible way to achieve their objectives while minimizing all relevant costs.
What will happen to the rate of inflation? How would the central bank react to the change in velocity if it pursued an NGDP target instead of a money stock target?
Consider the AD/AS model of the economy built from the IS/LM, and assume that the SRAS is upward sloping. The economy is currently operating at the full employment level of output. What are the short-run effects of the decrease in the MPC? What are ..
Only about 10% of viewers of public television (such as the Public Broadcasting Service (PBS) in the U.S.) make contributions to public television stations. Yet Congress approves budgets that subsidize public television. Why would the typical voter/t..
What are the upside of making all the table have a surrogate key? Or do you think that policy is too rigid? Can you illustrate with an example?
Suppose that Ellen has $I to spend on goods x and y: The price of good x is px and the price of good y is p y: Write down Ellen's budget line and draw it. Indicate the slope, as well as the vertical and the horizontal intercept.
Suppose, unfortunately, your mathematics and economics professors have decided to give tests two days from now and you can spend a total of only 12 hours studying for both exams. Construct a table for the production possibilities and corresponding nu..
What will happen to the marginal utility per dollar spent on movies?
a. Calculate the accounting break-even point. What is the degree of operating leverage at the accounting break-even point?
Impatient individuals with low attention span usually have. Is it fair and ethical for a minor to take advantage of the protection accorded by the law to breach a contract made with a person who believed the minor to have reached the age of Majority?
Research done in the United States, based on U.S. Census data, finds that-during an adult's working life-high school graduates earn an average of $1.2 million
Use the Internet to learn more about what companies are doing to enhance employee creativity. Be specific when you make an entry in your search engine to avoid being deluged with a choice of Web sites far removed from your topic. In your search engin..
Determine the probability that a randomly selected package will contain between one and three (including both 1 and 3) defective CDs (3 decimal places).
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