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"Scarcity implies that some way of rationing goods and services must be found." Explain what this statement means. In what ways can the rationing be done?
a. derive the is relation.b. derive the lm relation.c. solve for equilibrium real output.d. solve for the equilibrium
suppose the economy is on a balanced growth path in the romer model and then in the year 2030 research productivity
On a graph with on the horizontal axis and on the vertical axis, draw a typical indifference curve (it need not be exactly to scale, but it should accurately reflect whether there is a diminishing ). Indicate on your graph whether the indifference..
Administrative work: Exactly 2 workers are necessary to perform the administrative work for the business to operate. The administrative workers do not generate revenue.
Given the following variable in open economy aggregate expenditure model, autonomous consumption= 200, autonomous investment=200,
Consider a consumer who lives for three periods: youth, middle age and old age. When young, the consumer earns $20.000 in labor income. Earnings during the middle age are uncertain: there is a 50% chance that the consumer will earn $40.000 and a 5..
Illustrate a range of factors which might determine whether an internal or external strategy is pursue such a growth strategy.
Utilizing the link and the instructions to follow, create a graph of the US GDP relative to Debt from the period 1981 to 2010.
Suppose an economy with constant state unemployment. the separation rate is 2.5 percent per month and the finding rate is 47.5 percent per month.
If the tax multiplier is -1.5 and a $200 billion tax increase is implemented, what is the change in GDP, holding everything else constant? (Assume the price level stays constant.)
What is the income gap for the bank? What will happen to profits next year if interest rates fall by 3 percentage points?
Explain why cannot nations like Greece or Spain use quantitative easing as a means to stimulate their economies.
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