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Please write in some detail on all of the followings:
1. Please distinguish between the Keynesian and Classical views about the correction of problems that arise from business cycle.
2. Please define MPC and MPS.
3. Please define spending multiplier. What is its significance in fiscal policy discussion?
4. Say, the economy needs $8 bn spending to get out of recession. MPC for the economy is 0.8. What is the multiplier? How much should be the increase in Government spending?
5. What is loanable fund market about? Show it in graph.
Is the apple pie market perfectly competitive? Why or why not? b. With this data, draw a graph of the linear demand curve for Granny's apple pies. c. Find the price elasticity of demand at each of of the three prices.
q1. if the marginal cost of planting and harvesting an acre is 7000 per acre for each of the five acres how many acres
Show the short and long run effects of a monetary expansion in this situation in the AD/AS model. You can omit the labor market and production function graphs and you may assume sticky prices for SRAS.
Don Garlits is a landscaper. He is considering the purchase of a new commerical lawn mower, either the Atlas or the Zippy. Construct a choice table for interest rates from 0% to 100%.
Skyscraper City has a subway system, for which a one-way fare is $1.50. There is pressure on the mayor to reduce the fare by one-third, to $1.00. The mayor is dismayed, thinking that this will mean Skyscraper City is losing one-third of its revenue f..
Across the three social media options, which of the four measures is likely to have the greatest impact on the success of the branding campaign.
Numerous times in the lectures labelling the vertical axis as euro per $ and the initial supply and demand curves labelled with 12/07, Label this initial point as point A.
Assume that macroeconomic forecasters predict that the economy will be expanding in the near future. Explain how might managers use this information.
A fractional banking system is fundamentally prone to the (speculative, liquidity, bailout, or monopoly) problem because it creates more receipts for deposits than there are in reserves in the system.
Illustrate what would be the effect of poor weather on the consumer surplus, producer surplus, deadweight loss.
If we assume only one factor (labor), we can demonstrate on the PPF the opportunity cost of producing less of one good and more of the other good by:
Assume the following data for a country: total population, 500; population under 16 years of age or institutionalized, 120; not in labor force, 150; unemployed, 23; part-time workers looking for full-time jobs, 10. What is the size of the labor force..
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