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For an eBanking system that manages your finances electronically, how confident are you that the online services offered by your bank are robust and not prone to obvious failures?
What is the difference between nominal and real? Is nominal the same thing as natural? Please give examples with GDP, exchange rates, and money supply.
At 36 units of labor, a firm finds that both average product of labor and marginal product of labor equal 42. We can conclude that the average product curve at 36 units of labor is
Explain Alfred Marshall's theory of a long run (long period) competitive equilibrium (the theory still used to this day to explain the long-run outcome of perfectly competitive markets).
Suppose that TFP and the population of an economy are constant over time and equal to 1. Assume that everyone works and the labor input just equals the population. Assume that the capital stock in 2014 is 1. What is the amount of saving (and, hence, ..
Explain how does the price elasticity of demand for corn oil influence the quantity-demanded of corn oil and the Total Revenue earned by sellers of corn oil.
The Eurozone has some countries with severe debt problems: Portugal, Ireland, Italy, Greece and Spain ... sometimes known as PIIGS. These Euro countries are looking for and have been assured of a "bail-out" process so that no one defaults on their de..
A market is characterized by a demand curve that can be expressed as P = 96 – (1/3) Q. Each of the two identical firms currently serving the market has a total cost function of the form C = 12 q. There are no fixed costs. If the 2 duopolists behave a..
Show that a specific tax of $3.70/unit generates the same revenue as a 20% ad valorem tax
Why is it important that prices are flexible in the economy? Do you think government should be involved in manipulating prices?
Suppose that there are 1,000 hot pretzel stands in New York City. The market demand slopes downward, and the pretzel market is perfectly competitive (and starts in long-run equilibrium). Draw the current (long-run) equilibrium for pretzels. Use two g..
What does equilibrium GDP means? How net exports affect aggregate expenditure in the economy? How prosperity abroad affects our exports? What happens when there is disequilibrium situation? When GDP is less than the equilibrium. When GDP is more than..
Suppose you own a profitable small business in Washington, D.C. You desire to hold an essential 1-hour meeting with business executives in New York
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