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Suppose the supply of coal is perfectly inelastic, and the price elasticity of demand for coal is -0.4. If the government imposes a binding price ceiling for coal at a price that is 20 percent below the market equilibrium price, what is the impact of this policy on the market quantity?
Which of the following statements are true about deficits versus debt?
Does the law of diminishing marginal returns apply to this firm's production process. If so, explain why and find the quantity of labor at which diminishing marginal returns.
q1. why do proponents of active policy recommend government intervention to close an expansionary gap? briefly
Use appropriate graphs and provide clear explanation ( using relevant economic theories and discussions ) for the likely economic impact of each case. Imposition of sales tax to reduce consumption of tobacco among those who are heavily addicted to us..
Find the equilibrium interest rate. Now suppose that G rises to 1,250. Compute private saving, public saving, and national saving. d. Find the new equilibrium interest rate.
How is this shifting of AD curve going to affect the price level and output level of the economy.
Members of the Federal Reserve Bank, the central bank of the United States, meet every six weeks to adjust interest rates based on economic conditions.
Which of the following terms describes a phenomenon whereby individuals ignore their own information about the best course of action and instead simply do what everyone else is doing? What type of performance measurement based process was used to det..
Calculate the standard deviation of annual sales. Calculate the coefficient of variation of annual sales.
In the nation of Wiknam, people hold $1,000 of currency and $4,000 of demand deposits in the only bank, Wikbank. The reserve–deposit ratio is 0.25. What are the money supply, the monetary base, and the money multiplier? Assume that Wikbank is a simpl..
In the USA buying and selling of human organs is illegal. Those who need organs cannot buy organs from the market and those who donate organs cannot sell their organs. In your diagram show the effect of this policy change. Will this policy increase t..
For both options, your interest rate is 6% compunded monthly. If the car has a value of S after the 36 months period, what is the value of S that would make both options A and B economically equivalent?
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