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Please help me understand the role of the Federal Reserve? How much discretion should the Fed have? Should the Fed try to fine-tune the economy or simply keep money supply growing at a steady pace? Why?
The generalized demand and supply functions for a commodity are QD = 400 – 25 P + 0.4 M + 24 PR QS = 48 + 12 P –20 PI + 20 F QD = quantity demanded; P = price of the commodity; M = average household income; Find the “reduced” demand equation. Find th..
How is the money supply curve related to the a central banks objective of full employment and economic stability?
a) How much output will each firm produce? b) What will be the market price? c) How many firms will there be in long run equilibrium?
You have other smaller research questions embedded throughout the paper. For instance, you ask "what effect does CEO compensation have on business performance?"
Predatory pricing is easy to prove in a court of law. An incumbent firm may experience a learning curve that allows it to produce at a lower cost than a potential entrant. A firm receives no individual benefit from strategies that raise the marginal ..
Assume an economy that consists of consumers, government, business investors and an international sector. we will express this economy this way C+I+G+X=GDP Assume that the MPS is .3 How much can we expect the economy to expand if goverment increases ..
Suppose SRAS is horizontal as believed by Keynesian economists and is given by P = 110 and that the aggregate demand curve is P =200-2Q. Now suppose that the SRAS shifts upward from P=110 to P = 115. What will happen to the inflation rate? What will ..
The long-run average-total-cost curve shows. Total fixed costs generally decline as output is increased. Average total costs tend to be U-shaped. As output increases, average variable costs converge to average total costs.
The price demand function for 100 packs of whiteboard erasers is x = (360-4p)1/2. p is the price of one 100 pack of erasers. What is the elasticity of p = $18? Is the demand elastic, inelastic, or unit elasticity at this price? What price should the ..
In contrast, suppose that the CPI was 140 last year and is 132 this year. What is this year’s rate of inflation? What term do economists use to describe this second outcome?
How is it that certain groups in the United States never given the opportunity to “assimilate”? Include the following groups in your analysis: Hispanics, African-Americans and others of African descent, Native-Americans, and Asian-Americans.
What would happen to the demand curve if the major taxi companies lowered their prices? If you were asked to forecast future demand for this firm, how would you set up a forecasting model?
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