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Why are health and education so closely linked in the development challenge? What are the most pressing health and education challenges today? What is the supposed rationale for subsidizing higher education in many developing countries?
Draw a market with a negative production externality. What kind of instrument (policy) do you use? What's its magnitude? What does the policy lead agents on both sides of the market to do?
Compute the minimum rate of interest, and, therefore, the risk premium, at which you would lend $1000 on the informal market. Suppose you are risk-neutral.
Assume that the MPC is 0.89. If there was an $75 billion autonomous increase in expenditures, what would the total increase in expenditures including the initial increase?
Using a required reserve ratio of 10% and assuming that banks keep no excess reserves, which of the following scenarios produces a larger increase in the money supply, explain why. Someone takes $1000 from under his or her mattress and deposits it in..
A market in which there is an additional transaction that would benefit a buyer, a seller, and any third parties affected by the transaction is called. In the case of spillover benefits or costs,
A persone has a choice between an apple or an orange. the persone chooses the apple. Elucidate what is the opportunity cost of choosing the apple.
The data is listed per quarter, and real GDP data was calculated using 2005 as the base year. Fill in the columnns for the GDP deflator and for the percent increase in price level.
The profitability of a bank depends on several different factors. Banks manage their assets in a variety of ways. Explain the importance of “liquidity management”? What is the concern of the bank in regard to the liquidity of its assets? Bank Manage..
calculate the profit maximinizing output. calculate the economic profit earned. Illustrate what is the industry for product equilibrium.
the price of business travels drops, the company issues a report indicating that its marginal rate of substitution between electronic media and business travel marginal rate of substitution between electronic media and business travel is - 1. Is t..
Illustrate on your graph and in words all important points and areas on the business cycle.
How is the US Economy like a small, open economy? How is it like a closed economy? What is the relation of the domestic interest rate to interest rates in the rest of the world?
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