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Suppose there is a tradeable goods market (such as products like textiles that can be shippedacross markets) and a non-tradable goods market (such as services like hair cuts). Can outsourcing impact wages in the non-tradable market?
What is the importance of trade agreements, and how is international trade related to the standard of living of the United States (as opposed to that of a small industrial nation or to a developing nation)? What significance do trade agreements h..
If a 20 percent lowring in the price of long distance phone calls leads to a 35% increase in the quantity of calls demanded, we can conclude that the demand for phone calls is:
Explain a situation in which a increase in the value level increases interest rates, lowers consumption, and leads to lower investment in capital goods.
Carmen opens a retail store. Her sales during 1st year are $600,000, of which $30,000 has not been collected at the year end. Her purchases are $400,000.
Since identifying the M D curve is difficult, the overnight interest rate is often used as the primary method of implementing monetary policy, whereas the money supply is kept fixed. Explain whether this statement is correct or incorr..
The wages of workers rise by 20% and the rental price of capital increases by 25%. The firm should hire __________ labor and __________ capital.
Suppose he chooses to drive 10 hours a day explain how many hours of leisure and how much consumption does this imply.
Given an MPC of .8, if the C+I equilibrium level of aggregate expenditure is $600 billion, then government expending of $50 billion is included, Determine new equilibrium level of aggregate expenditure?
Pat and Kris are roommates. They spend most of their time studying (of course), but some time for their favorite activities: making pizza and brewing root beer. Pat takes 4 hours to brew a gallon of root beer and 2 hours to make a pizza.
Many controversial issues in public finance concern when a central authority should allow markets to work and when it should intervene. Generally we think of the government as the central authority, but it could be a university as well.
Describe a real or hypothetical situation that requires someone to make a policy decision. Then, select one of the three approaches to forecasting to apply: extrapolative, theoretical, or judgmental. Provide at least two reasons for your selectio..
Customers to Live Theaters, Inc. can be divided into two groups: seniors and everyone else. The inverse demand curves for each of the two groups are given below. The marginal cost (which equals the average variable cost) of serving an additional p..
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