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In order to reduce the size of its deficit, the government of Oz widely announces that it is considering introducing a large decrease in government expenditures next year. A substantial amount of opposition arises that claims such a move will cause a recession in Oz.
You work for a corporation that is considering whether or not it should expand production. The economic viability of the plant expansion depends on there being no recession in the near future. Your boss asks you to comment on the validity of the claim made by those opposing the planned decrease in government expenditures. What do you tell her?
Use appropriate well-labelled diagram(s) as an aid to presenting your report. Make clear any assumptions you make and discuss the implications of these assumptions.
a government is currently operating with an annual budget deficit of 40 billion. the government has determined that
Discuss each of the strategies below. what conditions are necessary to make each strategy successful in terms of increasing profits? Explain your answer.
suppose that in the year 2000 a typical social security recipient consumed only food and housing. the price of housing
In a sentence or two explain why the pigouvian tax depends on knowing both pmc and demand. If total damages are linear, do we still need to know PMC and demand in order to set the optimal tax?
a meeting of senior managers at the pringly division has been called to discuss the pricing strategy for a new product.
1. Suppose inputs are only substitutable at two units of labor for every one unit of capital, and one unit of output is produced for every unit of labor or ½ unit of capital. What would be the equation for the production function? What is the ..
Most customers tip according to a percentage rule between 15 and 25 percent of the bill.diners who have dinner and a $20 bottle of wine usually pay the same percentage of the bottle price as diners who order a $100 bottle.
Licensure of physicians means that to some extent, the supply of physicians can be viewed as a vertical line. Explain what this means for the price of physician services. How might this change over time?
Does the equal marginal principle apply to personal decisions when you have limited income and time? How do you allocate a limited amount of study time when faced with three exams on the same day?
Should the Government increase, decrease or remain the same in its level of intervention when it comes to mandating that companies provide product information to consumers What happened to "caveat emptor" (buyer beware)
Suppose that Dr. Slight has $100 to spend on goods X and Y. Each good costs $1. Dr. Slight’s preferences are such that he will exchange one unit of Y for two units of X to maintain his wellbeing, regardless of how much of each he is currently consumi..
the gpi bookstore orders sweaters with the gpi logo on them and sells them for 40 a piece. during a typical month 80
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