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The Federal Reserve uses the federal funds rate as an operating target because
A. it is an excellent indicator of the economy's underlying inflation rate
B. it is very sensitive to bank reserve level changes
C. it is determined by the Treasury
D. the Fed sets the rate directly
is the statement true or false? a profit maximising perfectly competitive firm should select the output level at which
Purchase the machine it is currently renting for $150,000. This machine will require $20,000 every year in ongoing maintenance expense.
q.equilibration is the process of moving between two equilibrium points as a result of some change in supply or demand.
Forward Exchange Rates: Use the information
How many bottles would be demanded in entire market if price is $1.00. How many bottles would be demanded in entire market if price is $2.00.
Analyze and discuss the roles of physical capital, human capital, technology, and natural resources in influencing long-run economic growth of aggregate output per capita. Then discuss how governments can contribute, or discourage, long run growth th..
Suppose that a firm's production function is Q= min{K,L} . Currently, the wage is w= 8 and the cost of capital is r=8. What is the minimum cost method of producing Q=40 units of output? Suppose that wages fall to w=4. Keeping total cost the same, wha..
It has been estimated that private prisons are about 10 percent cheaper, on a every prisoner basis, than public prisons.
Explain what would happen to equilibrium price and quantity in the market for Pepsi if the following occurred (be sure to indicate WHY it happens as well)
q1. consider a firm as we did in the notes that maximizes it profits by selecting how many workers and how much capital
The firm's average variable costs and average fixed costs per month are R200-00 and R500-00, respectively.
Expansionary monetary or fiscal policy would most likely be effective in reducing which type of unemployment? .Frictional unemployment
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