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Q1. Explain how it is possible for one of two people in a two-good economy to have an absolute advantage in producing both goods, but trade can still benefit both people.
Q2. Explain the various factors that weigh down consumer confidence in 2008
Q3. The government reduces the size of its deficit to zero.At any given interest rate, consumers decide to save more. Assume the budget balance is zero at any given interest rate; businesses become very optimistic about the future profitability of investment spending. Assume the budget balance is zero.
Assume that every driver faces a 1% probability of an automobile accident every year. An accident will, on average, cost each driver $10,000.
Define Mercantilism, Pick a country and talk about the products they import and export with the U.S.A. Also talk about the composition of trade with relation of abundance of the two countries
A flat tax plan allows individuals to deduct a standard allowance of $10,000 from their wages. Assume that the flat tax rate is 12%. Calculate the amount of income tax and the average tax rate if you were earning.
Does a persistent balance of payment deficits result in a pressure to devaluate the currency.
An increase in autonomous investment will cause equilibrium output to increase
Explain how the indifference curve and budget line apparatus are used to derive a consumer's demand curve.
Perform a statistical analysis of its short-run production costs to estimate its total variable cost function.
What is the difference between a change in the quantity supplied and a shift in the supply curve.
Identify the causes of the crisis, the steps the private and public sector took to resolve it, and what leaders should do to keep it from happening again.
Proposals for modifications of the law are formulated by committees. Under the closed rule, the legislature may either accept or reject a proposed modification, but may not propose an alternative.
How much deadweight loss does Great Reception causes when it restricts output and charges a price above marginal cost.
Illustrate why did official money lose its meaning in Germany during the 1920s. What did the German government do or not do.
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