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In the USA, a great premium (value) is placed on:
(a) economic success and
(b) the outward signs that signify this success to others.
Many adults (and even young adults) get great pleasure from how other people see their cars, homes, and other ways of spending money. The rich often get BIG pleasure from flaunting their wealth (buy buying expensive things or by making a big deal about their charity and donations to worthwhile causes). All of this behavior is perfectly normal and does not need to be criticized.
Now, a great many people who are eligible for Food Stamps do not use them. Why do you think this is the case? Do you think this has anything to do with the thought expressed immediately above. What about you? If you were eligible for food stamps, would you use them? Would it make a difference if you were alone at a checkout counter or with a group of friends?
PS- The answer to this question goes a long way to explain why with many welfare programs in the USA, only a fraction of the people eligible take advantage of the program.
A prospective change in government purchases. Suppose that people learn in the current year that government purchase will increase in some future year. Current government purchases do not change. What happens in the current year to real GDP,Y; Consum..
Proponents of zero inflation argue that even mild inflation (1 to 3 percent) reduces the economy's real output. Do you agree or disagree with this assessment? Why?
Explain the form of analysis that concentrates on comprehending and deciphering the meaning found in language and images, in the form of signs, as well as their complex interrelationships.
If firm A expects firm B to set its price at $20, what is firm A's best response? If firm B predicts that firm A will price good A at $36, what is firm B's best response? What is the NASH EQUILIBRIUM price and quantity for each firm?
Find the number of employed, labor force participation rate, and unemployment rate.
How can large companies afford to lower the price of goods in a competitive market? A company’s ability to raise its price without losing its entire market is an example of market power. One of the most important of these is economies of scale. How d..
Assume that the production function is given by Y = AK0.5L0.5, where Y is GDP, K is capital stock, and L is labor. The parameter A is equal to 10. Assume also that capital is 100, labor is 400, and both capital and labor are paid for their marginal p..
You are a hero with a broken sword (Conan, Boromir, or your favourite Dungeons and Dragons character) being chased by a troop of bad guys (bandits, orcs, . . .). Fortunately you are on a horse and they are not. Unfortunately your horse is tired and t..
A parking lot in Hong Kong is choosing between incandescent lamps or the newly developed LED light bulbs to renovate its lighting system of a total of 1,000 lamps for use of 12 hours daily. Discuss the financial feasibility of using either lighting t..
Researchers have found a hybrid of corn that is cheaper to grow. This technological break through
What is the increase in the number of potential connection services if one additional user joins the network?
i. Calculate the real income growth rate in each country. ii. Calculate the nominal interest rate in each country.
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