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1) "I cut production not because costs were too high, but because demand was too weak." "I cut production not because demand was too weak, but because costs were too high." Which statement best reflects the Keynesian view of national income determination?
2) The creation of unwanted inventories or the depletion of wanted inventories signals coming changes in the level of national income. Explain.
3) Professor Arvind Jaggi asks his students at Franklin and Marshall College: "Building schools is not only good for students but for many non-students as well." Who are these nonstudents? Explain why they benefit.
The city of Morse recently completed the construction of a bridge across the Ohio River at a total cost of $133,453.95. The length of the bridge is 276,389 feet. The city of Edison three miles up river wants to build there own bridge which have to be..
for a child i living in a particular a school district let voucher be a dummy variable equal to one if a child is
During World War 2 gasoline and other consumer goods were in short supply on the home front so that maximum resources could be diverted to the war effort. In order to cut back on the consumption of these many products, rationing coupons were issued t..
Peggy-sue's cookies are the best in the world, or so I hear. She has been offered a job by Cookie Monster.
Estimate the level of sales next year if CFC reduces Px by 10 percent and increases advertising by 20 percent, Income rises by 5 percent, Py is reduced by 10 percent, and Pm remains unchanged. By how much should CFC change its advertising if it wants..
What is the opportunity cost of investing in physical capital? Do you think a country can "over invest" in physical capital? What is the opportunity cost of investing in human capital? Do you think that a country can "over-invest" in human capital? E..
Explain why there is a blurry line dividing objects that are “money” from those that are not. Give examples of some clear-out cases and some borderline ones. Could the position of this blurry line change over time?
This might be interpreted as an upward shift in the consumption function. Explain how does this shift affect investment and the interest rate.
Which of the following is NOT a possible way for a price-fixing scheme on potatoes to fall apart?
Unemployment generated by the existence of labor unions is structural unemployment and so contributes to the natural rate of unemployment.
Which of the following institutional arrangements is most likely to promote growth.
make a recommendation to your neighbor based on convincing economic analysis.
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