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In 2005, households spent $12,000 on goods and services, purchases of capital equipment, inventories and structures amounted to $9,000 government spent $1,000 on goods and services and $500 on transfer payments, and the value of imports exceeded the value of exports by $500. It follows that 2005 GDP for this country was:
Define what is of the higher the price of a good, the smaller the quantity demanded and vice versa?
Elucidate current global economic and political policies and their impact on business decisions. Apply critical thinking skills to analyze business situations
The textbook claims that standards are both necessary and dispensable. What does that mean? What are the implications of this paradox for the application of corporate responsibility standards?
Analyze the factors that drive supply and demand, different types of market structures in a free enterprise system and factors of stability in nation's economy.
Explain the multiplier intuitively. Why is that an increase in planned investment of $100 raises equilibrium output by more than $100 Why is the effect on equilibrium output finite How do we know that the multiplier is 1/MPS
A growing economy means that the economy is producing more and more "stuff", either because it has more resources (workers), or uses those resources more productively (smarter, better workers, working with better machines and systems).
A farmer grows a bushel of wheat and sells it to a miller for $1.00. The miller turns the wheat into flour and sells it to a baker for $3.00. The baker uses the flour to make bread and sells the bread to an engineer for $6.00. The engineer eats the b..
What implicit weight is placed on the inflation target under this rule? Discuss. Draw an IS-MP diagram but instead of the usual MP curve, graph the monetary policy rule.
What is the most important characteristic of monopolistic competition? How do firms behave differently from perfect competitors? What are the implications of having a large number of firms in a monopolistically competitive market?
Now assume that inflation is expected to be 3 percent per year over the same three year period. What would be the investment's FV in terms of purchasing power?
"Gains from Trade" is the term that economists give to international trade. However, there are many economists that believe that the United States has been put in a 'lose' situation when it comes to international trade.
Say the economy is in recession and you are the newly hired Federal director of fiscal policy and have been given the job of creating policies
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