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1)We use money just about every day.
What is money and what functions does it perform?
How is the supply of money measured?
Who influences how much liquidity is created or reduced in the U.S. economy?
2)What would happen if no one tried to manage the business cycle?
What role do you see for the Executive Branch of the U.S. government in managing the business cycle?
How does fiscal policy work?
What are its limitations?
How does monetary policy work?
Who is responsible for setting and implementing monetary policy?
What is the "current macroeconomic situation" in the U.S. (e.g. is the U.S. economy currently concerned about unemployment, inflation, recession, etc.) What fiscal policies and monetary policies would be appropriate at this time
Illustrate what would happen if CPI decided to raise prices unilaterally in this toothpaste market.
In early 2001 investment spending sharply declined in the United States. In the 2 months following the September 11, 2001, attacks on the United States, consumption also declined. Use AD-AS analysis to show the two impacts on real GDP.
Suppose 10% of all workers are of high ability. If a firm knows a worker's ability, workers of low ability are paid $20,000 and workers of high ability are paid $30,000. Obtaining a university degree can signal high ability, and the cost of degr..
Assume that U =xy and that Px =$10, Py=$5, and I=$100. Use the Lagrange method to find the first-order conditions and the optimal values (i.e., utility maximizing values) of x and y.
Elucidate economists use two major approaches to estimate incremental environmental costs. Which in your view likely produces the most reliable estimates.
The federal funds rate is currently 3 percent. The equilibrium real federal funds rate is 3 percent, and the weights on the output gap and inflation gap are 0.5 each. The inflation target is 1 percent. Is the federal funds rate currently too high o..
Elucidate what is your interpretation as to whether or not capital gains taxes should be raised or lowered.
An engineering student bought a $75 bicycle and agreed to pay for it with a single $85 payment at the end of six months. Assuming semi-annual compounding, what is the annual, effective interest rate?
1. suppose the marginal costs of reading are consatnt and the marginal benefits of reading declineover time. initially
Explain what each of these economic indicators measures and what the significance of the current data is for the economy and increases in resources or improvements in technology will tend to cause a society's production possibilities curve
The government places a price floor on milk which is below the current equilibrium price of milk. The number of children who drink milk and the number of farmers who produce milk increase at the same time.
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