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Name the factors not counted in GDP that, in your view, most affect human welfare or happiness. How do you imagine that modifying to account for these factors would raise or lower current U.S. GDP relative to earlier times or other countries? (Be specific in your references to time and country and provide reasons for your judgments).
Where is monetary policy stronger? In an open economy, changes in monetary policy affect both interest rates and exchange rates. Comparing the United States and Switzerland, in which country would monetary policy have a more significant effect on GDP..
"Because of unusually good growing conditions, the supply of strawberries has substantially increased." This statement indicates that:
Analysis of Pricing: You manage MBA Deli which sells meals at a price of $6 each. The average number of meals sold per month is 7,000. MBA Deli would like to increase its sales and profits. The MBAs running the Deli, know that if price is lowered, th..
What is the solution of the Solow model for consumption per person in the steady state, c ∗ = C ∗/L∗ ? How does each parameter in the solution affect c ∗ , and why?
A monopolist has determined that marginal revenue is $2.00 and average cost is $1.75. It has also determined that the lowest sustainable average cost is $1.75. To maximize profit, should the firm lower its price, increase its price, or leave the pric..
Why might investment not respond positively to low interest rates during a recession? Why might investment not respond negatively to high interest rates during a boom?
She is considering quitting her job and going to university full time for four years.
The city of Springville is building a new fire station. The city is expanding and is in need of a second fire station closer to the newer areas of the city to ensure shorter response times. The project manager and the project team have been selected ..
A forward premium for a given currency (say the nominal bilateral exchange rate value of the dollar where S = 80 yen/1 dollar = 80) occurs when the value of the currency as given by the forward spot rate appreciates such as S = 85 yen/1 dollar = 85. ..
When the monopolistically competitive firm lowers price from $16 to $12, elucidate how much does total revenue change.
Suppose as a manager of a profitable department store you are con-fronted with a pricing problem. You have two types of customers: a high-end type that are willing to pay a price of $25 for a pair of Levis jeans
Illustrate what price do you think this firm should charge if it wants to maximize its short-run profit.
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