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Using two-period real intertemporal model we studied in chapter 11, answer the following questions:
Analyze the effects of a decrease in productivity on equilibrium prices (wages and interest rates) and quantities (output, consumption, employment and investment).
Now, suppose that the decrease in productivity also effects the tax collection efficiency of the government. Therefore, for the same amount of spending, the government needs to collect a higher amount of taxes. Given this additional effect, revisit your results in part (a), analyze the additional changes in equilibrium prices and quantities.
Explain the effects of monetary policies on the economy's production also employment
If Clancy buys a coupon to pays when Sullivan wins Illustrate what is the induced lottery to he faces. Illustrate what is its expected value.
Write an MIPS program that calculates the euclidean norm and the taxi-cab norm of a vector (Links to an external site.). Please not that these are two separate programs. The euclidean norm should have the signature: float taxi_cab(float a[]).
In response to the recession of 2008, the US Federal Reserve Bank made several efforts to increase banks excess reserves, decrease interest rates for lending, and increase lending. These "extraordinary measures" have been somewhat controversial (at l..
The Economist magazine uses the price of a Big Mac to determine whether a currency is under-valued or overvalues. In July 2012, the price of a Big Mac was $4.33 in New York, 15.65 yuan in Beijing, and 6.50 Swiss francs in Geneva. Was the yuan underva..
The amount of toothpaste in a tube is normally distributed with a mean of 6.5 ounces and an s.d. of 0.8 ounces. The cost of producing each tube is 50 cents. If in a quality control examination a tube is found to weigh less than 6 ounces, it is to be ..
The U.S. cigarette industry has negotiated with Congress and government agencies to settle liability claims against it. Illustrate what effect will this have on its optimal price.
College Degrees Required for Police Officers Many Police Officer positions being advertised today require the applicant to have a college degree even though the tasks of a police officer rarely call upon college course material. Why don’t police depa..
It has just been announced that large deposits of oil have been discovered in Chile. It will take five years for production to begin, but after that time Chile will become the world's largest oil producer by a large margin. How and why does this anno..
Which of the following is most important in increasing a nation's economic growth in the long run?
There are ultra-conservative politicians who believe that the Federal Reserve System should be eliminated. Based on the material covered in class (macroeconomics), do you agree or disagree? Explain, in your own words, and be specific.
In May? 2013, the value of the Consumer Price Index? (CPI) in a certain? country, Polonia, reached an? all-time high of 240 index points and per capita nominal GDP was? $42000. In January? 1950, the CPI was at its lowest at 68 index points. Calculate..
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