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1. Describe in your own arrangement of words, the underlying circumstances, conditions, or problem that gives rise to a study of economics. Define the meaning of the word economics and discuss in a short essay the various approaches and systems of economics that have been used in the past, are tried now, and may be tried in the future.
2. Illustrate and explain the interaction of households, businesses, government and global markets in the circular flow of economic activity.
3. a. State and briefly explain six goals of the economy on the macroeconomic level.
b. State and explain the goal of consumers as assumed by economist's perspective.
c. State and explain the goals of business firms as assumed by economists in the microeconomic perspective.
Mention and explain the two types of inflation. Which sort of inflation would most likely be associated with the negative GDP?
According to the Solow growth model, a country that increases its rate of capital investment can overcome diminishing marginal returns to capital and achieve sustained high growth over time.
Find out the equilibrium market price. Find out the profits of the leader and the follower
Compute the AE function and plot it in diagram. What is total autonomous expenditure? What is slope of the AE function?
If the desired fiscal stimulus is $20 billion and the desired AD increase is $50 billion, we can conclude that the MPC is:
Illustrate each of the following events using a demand and supply diagram for bananas.
Find the optimal (profit maximizing or cost minimizing) output of each firm. Find the price that each firm charges at the when producing the optimal output.
The information below explains the real GDP per capita for the country of Utopia for the period of 1975 to 1991.
Explain how an individual's Demand curve for medical care will change (i.e., shift) if the following things happen (consider each change individually, holding all other possible influences constant.
How much does the gross price increase in each market
Explain why competitive markets normally lead profit maximizing firms to make choices about resource use that lead to an "efficient" allocation of resources to the market?
Bright Future, Ltd (BF) is a non-profit foundation providing medical treatment to emotionally distressed children. Determine the optimal amount of service provided by BF.
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