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Assignment
Directons: Answer each of the questions below.
1. What does our government do with tax money? How does government affect the business cycle? Income distribution?
2. Who set the rules for our economic system? Identify the different types of laws that are in place to protect our economic system
3. Explain the purpose of anti-monopoly laws. You may need to refer to your additional resources or conduct an internet search. Give specific examples.
4. What is income redistribution? Be specific and provide at least three examples.
5. Through your own experience, by watching the national news, or by reading a newspaper, identify at least 10 ways our government spends our tax money. Identify at least three ways that you benefit from this spending. Be specific.
Obtain the IS and LM for this economy - Find out the equilibrium income rate and interest rate in this economy
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Suppose that an innovative way of picking grapes is being used and is much cheaper than doing it manually. Unfortunately, it does not work for berries, which are a substitute for grapes. Explain fully what will happen to the markets for grapes, be..
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