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Problem
Suppose the economy begins with output equal to its natural level. Then, there is a reduction in income taxes.
1) Using the AS-AD model, show the effects of a reduction in income taxes on the position of the AD, AS, IS, and LM curves in the short- and medium-run.
2) What happens to output, the interest rate, and the price level in the medium run? What happens to consumption and investment in the medium run?
Discussion on problems like global warming. These resources use around 3 to 6 times the amount of resources that natural gas uses.
i) Explain how this arrangement help to deal with the problem of moral hazard? ii) Explain how this arrangement help to deal with the problem of adverse selection?
Illustrate what will be the actual dollar change in revenue and does it rise or fall.
A New York Times column in the fall of 2009 reported that the value of the dollar was falling, in part, because “investors who had sought shelter in the American currency’s perceived stability
The Santa Fe Cookie Factory is considering an expansion of its retail pinon cookie business to other cities. The firm's owners lack
Discuss the nature of the relationship between employers and employees and evaluate employment factors in the economy that are important to firms
What are the consequences of an increase in the money supply on output and the price level? Does your answer depend on where the economy starts?
You are about to open a business and must obtain a license from the city for $25,000. The license is transferable, but only $4,000 is refundable
The demand for a good produced by a firm has been reliably measured by P = 100 - 5Q, output Q is measured in thousands of units. If the total cost function is given by: C = 10Q, what is the optimal level of output produced by the monopolist?
a. Describe three panaceas that failed according to the author. b. Discuss the impact that investment has had on economic growth. (based on part 4 of the book).
Should tariffs be used to protect American-made products from foreign competition? Why or why not?
Pick a sector that you know well and identify and discuss the key macro risks for the coming five to ten years.
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