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Consider the following information:
Computers: Sales revenue = Pc*Qc = 150
Payments to labor = W*Lc = 75
Payments to capital = Rk*K = 75
Barley: Sales revenue = Pb*Qb = 150
Payments to labor = W*Lb = 70
Payments to land = Rt*T = 80
Holding the price of computers constant, suppose the percentage increase in the price of barley is 10% and the percentage increase in wage is 5%.
The effect of the increase in the price of barley on the rental price of land is then about?
You are working for an unemployment agency which distributes unemployment checks to unemployed workers in your state.
Short term Treasury bills [3 and 6 month] have current annual rates of interest around 0.5%. Use that info plus your best forecast of inflation to calculate the real rate of interest on those bills.
Compute the elasticity of demand for every parameter.
Using the 'standard' Taylor rule with Inflation PCE (not the core), and using end of 2011 data (2011-10-01) what is the federal funds rate implied by the 'standard' Taylor Rule?
look up for the numbers of the M1, M2 and M3 monetary aggregates in the European central bank euro area statistic for the most recent last-year period since the outburst of the global financial crisis.
Discuss the possibility of trade d factor endowments are identical and taste is different - explain the difference between the price and the physical definition of factor abundance - Discuss the possibility of trade if factor endowments are identical..
What is the general relationship between money and inflation? Why are economists interested in understanding inflation - What is the relationship between money and the interest rate? How does monetary policy potentially affect interest rates?
Identify two tax based policies supply-side economists advocate and describe their rationale in support. Describe two separate criticisms of supply-side policies.
Select a policy or proposed environmental policy and write a one page essay analyzing what the policy's stated goal is, whether the policy is likely to achieve this goal, what the costs of implementing the policy wll be, who will bear these costs.
Give a brief summary of the GDP trends over that timeframe and discuss two or three events which may have caused these trends.
Matt and Johnny both purchase pop and chips at the same convenience store. They have different tastes for pop and chips, so Matt buys 3 cans of pop and 10 bags of chips whereas Johnny buys 15 cans of pop and 2 bags of chips.
If bicycle owners do not know whether they are high- or low-risk consumers, is there an adverseselection problem.
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