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Suppose that the minimum required reserve ratio for banks was 1/11. Also suppose that banks held no excess reserves and that currency in circulation was unchanged. What action in the Treasury bill market would the Fed have to take to increase bank checking account deposits by $990 million?
When the price of bread increases by 3 percent, the quantity demanded of crackers increases by 2 percent. The cross elasticity of demand between crackers and bread is?
Discuss the differences between unemployment and underemployment and give examples of each. Which do you think is a more serious “problem” for the economy? How might underemployment be addressed through government policy?
What is the value of an investment that pays $20,000 every other year forever, if the first payment occurs one year from today and the discount rate is 12 percent compounded daily? What is the value today if the first payment occurs four years from t..
Suppose she is offered a new job that would pay her $15,000 and would bring her earnings high enough so that she no longer qualified for any welfare benefits.
Which of the following is true about perfect competition?
Develop a strategy for the client to convert passive income into active income deferring immediate U.S. taxation until repatriated home based on your research. Provide support for your recommendation.
Does a temporary increase in government expenditure increase output in the standard new-Keynesian DSGE model? Is it possible to draw any intuitive parallels between the impact of government expenditure in these models and in the IS-LM model?
Should a nation's income be distributed to its members according to their contributions to the production of total income or according to the members' needs?
In open economy, what is the source of demand in the foreign currency exchange market?
Which of the following payment terms should a professional athlete prefer in a “ten million dollar” five-year contract if the athlete wants to obtain the greatest present value of income?
who expend resources to ensure that y only buy IPOs that will yield positive returns over time and uninformed investors who buy stock indiscriminately and without information (Rock, 1986, p. 190). Could IPOs Be Lemons.
Andy purchases only two goods, apples (q1) and kumquats (q2). He has an income of $40 and can buy apples at $2 per pound and kumquats at $4 per pound. His utility function is U(q1,q2)=3(q1)+ 5(q2). What is his marginal utility for apples and what is ..
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