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Discuss the various ways inflation can hinder economic activity. What are some strategies you might use in your life to deal with rising inflation? How might these strategies change if we experienced deflation?
Compute Macaulay and modi?ed durations for the following bonds:
In this table below, Agoira moves from a command system to a market system
when the state cuts its rate by 4 cents an hour. Explain how the fall in the average weekly wage and the minimum wage will influence aggregate supply.
The cost measure sellers use to determine whether or not to produce the optimal (i.e. profit maximizing) level of output is:
Lets assume that we admitted more students this semester (1200) than last (1100) and because of it there is a shortage of “B” parking spaces. Students also complain about the parking permit price ($100).
Lightweight personal locator beacons are now available to hikers that make it easier for the Forest Service's rescue teams to locate those lost or in trouble in the wilderness. How will this affect the costs that the Forest Service incurs? (Ch 20 Ind..
As the US baby boomers retire, US government budget deficits are projected to increase significantly. Explain intuitively why the supply curve in the US loanable funds market slopes upward. Begin your explanation, by considering an increase in the re..
As a policy maker concerned with correcting the effects of gases and particulates emitted by and local power plant, illustrate what two policies could you use to reduce the total amount of emissions.
You run a correlation matrix between Y variables auto sales in units and two X variables auto prices (X1) and car buyer’s income (X2). As expected auto prices had a high negative correlation to auto sales while buyer’s income had a high positive corr..
Suppose that a country has a fixed exchange rate and unrestricted (financial) capital flows. Which of the following would the country NOT experience?
Real GDP will increase
Consider the following market game: there are two firms in an industry firm1 and firm 2. Firm 1 first chooses the quantity of its production and then firm 2 observing q1 will choose q2. Demand curve is given by P=1000-Q where Q is the total quantity ..
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