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Assume a technological advance leads to lower production costs. Show the effect this will have on national income, unemployment, inflation, and interest rates with the help of an ADAS diagram, assuming completely flexible wage rates.
Suppose that the pre-tax price of gasoline is $1 per gallon. A tax of $0.50 is imposed and is paid by consumers to the government. What must the gross price of gasoline be after the tax so that the consumer tax burden is equal to the producer tax bur..
Chris has $100 to spend this month on movies and/or books. A movie costs $10 and a book costs $20. Draw Chris’s budget constraint (or budget line), with the number of movies purchased on the vertical axis. What is the opportunity cost of the second b..
Explain demographic transition and how technological advances affect the birth and death rates. Explain the Malthusian debate. Explain the controversy around population control. Can the world sustain such a huge population growth?
q. under what elasticity conditions would the following be trueincreasing the minimum wage will result in a decrease in
q1. during the late 1980s wool prices increased considerably due in part to increased demand by china and the former
Make a prediction regarding opportunities and challenges that an increase in diversity may present in the United States in the next 50 years. Elucidate the reasons for your speculations.
If country desires to smooth consumption, explain how much it should borrow in period 0. Illustrate what will level of consumption and trade balance is from then on.
Suppose, as part of an active monetary policy, the Federal Reserve sells government and other securities from its existing portfolio holdings to the banking and financial sectors and the non-bank public. Suppose also that the banking sector is fully ..
Explain why total revenue doesn't always increase when price is raised. Explain why the issue of firm interdependence makes modelling firm behavior under oligopoly so difficult. Why is so important to seasonally adjust data?
The local apple stand sells apples for 50 cents each. They raise their price to 75 cents. The store was selling 100 apples a day but now they sell 50 apples a day. Calculate total revenue before and after the price change. List both answers i.e. befo..
One common criticism in the optimal taxation literature is the specification of the social welfare function. The optimal taxation literature (I have the Mirrlees framework in mind) relies on first specifying a social welfare function. what kind of po..
In the medical care sector, the decisions of what services should be produced, how they should be produced, how they should be distributed, and how to allow for growth and innovation must be made. What combination of non-medical and medical goods and..
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