Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Suppose the central bank of a closed economy chooses to target money supply.
(a) Suppose the economy is in a severe recession, with many unemployed resources, and prices are fixed. Draw the related IS-LM-Yn and AD-SRAS-LRAS diagrams, and label the initial positions of the economy in the two diagrams as points "A".
(b) Suppose, as the finance minister of the economy, you decide to use strong enough fiscal expansion to bring the economy out of the recession. Use the IS-LM-Yn and AD-SRAS-LRAS diagrams to show the effects of such a fiscal expansion. What types of crowding out effects you might encounter, and how will these affect your choice on the size of the fiscal expansion?
(c) After succeeding in the great task of using fiscal expansion to bring the economy back to full employment, some people recommend you to use more fiscal expansion to push for higher GDP. Should you adopt the recommendation? Use the IS-LM- Yn and AD-SRAS-LRAS diagrams to support your decision.
Which of the following constitute a reduced form solution of a model?
Do you see any potential problems with this idea? Explain. What are the cons of the strategy?
Explain your opportunity cost of taking this course. When looking at the decisions that you have to make, are you more concerned on your lost time or money.
Personal income taxes are reduced as part of an expansionary fiscal policy. What is the impact on aggregate expenditures and income?
Suppose that an MBA degree creates no externality because the benefits of an MBA are internalized by the student in the form of higher wages. If the government offers subsidies for MBAs, then which of the following statements is correct?
Mathew and Susan are both optimizing consumers in the markets for shirts and hats, where they pay $100 for a shirt and $50 for a hat.
Identify several emerging markets brands that are becoming globally recognized. What do you think are the reasons for their success?
Discuss utility and some of the properties about people's preferences. One is that "more is better ".do you agree that is always the case and if not do you have an example?
Find an article (newspaper, magazine, or online) that identifies a shift change in supply and demand. Use the article to answer the questions: Indicate if the shift has already occurred, maybe occurring currently, or may occur in the future. Is the m..
Suppose you purchase eight call contracts on Macron Technology stock. The strike price is $65, and the premium is $2.3. If, at expiration, the stock is selling for $71 per share, what are your call options worth? What is your net profit? (Omit the "$..
The income elasticities of demand for movies, dental services, and cloting have been estimated to be +3.4, +1, and +.5, respectively. Interpret these coefficients. What does it mean if an income-elasticity coefficient is negative?
There are two identical firms in this economy with constant marginal costs equal to 1 and no fixed costs. Assume that firms set prices and follow a Bertrand model to do so.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd