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Suppose we investigate a particular example of a model with no government. Suppose the consumption function is given by C=100+.8Y, whereas investment is given by I=50.
a. What is the equilibrium level of income in this case?
b. What is the level of saving equilibrium?
c. If, for some reason, output is at the level of 800, what will the level of involuntary inventory accumulation be?
d. If I rise to 100, what will the effect be on the equilibrium level?
e. What is the value of the multiplier here?
f. Draw a diagram indicating the equilibrium in both parts a and d.
If between 2003 and 2013 the economy's real gdp grew from 20 million to 40 billion, what was the average annual growth rate in the economy?
Elucidate Adam Smith in The Wealth of Nations asserted that the pursuit of self-interest by competitive firms promoted the interests of society.
Suppose the labour market in the house cleaning industry in Quebec City can be described by the following demand and supply equations: LD = 400 - 10w and LS = 40 + 20w. Calculate the equilibrium wage and employment if the market is free.
What does central bank independence mean? Which dimensions are included? Politically independent monetary bank is an important prerequisite for currency stability
The market demand for a product is given by: Q= 300 - 5P + Y. Where why is average consumer income? The current level of income is 200. What is the price elasticity of demand if the price of the good is $20.00?
decades has noting to do with the Department of Health and Human Services, but rather with the Internal Revenue Service. What evidence can you cite to support your position?
Assume there is a central city school district in which the student population is predominantly black. What will there be a salary differential between black and white teachers.
Suppose that you own a 25 year old movie theatre in Micropolis. It has 6 screens and a concession stand. Across town there is a 7 year old movie theatre with 4 IMAX screens and 20 more regular screens. For each of the characteristics listed below, ev..
Suppose it costs $30 for each lobster trap set. Lobsters sell for $15. If X traps are set, the harvest rate of lobsters, L, as a function of the number of traps, is given by: L = 45 X –X2. With no restrictions on the number of traps, and open access ..
What is the equivalent uniform annual cost of one machine in years 1 through 7 at an interest rate of 7% per year?
q1. consider a market where supply and demand are given by qxs -14 px and qxd 82 - 2px. suppose the government
Illustrate what does the difference in the relative black-white wage ratios across regions indicate that Southern employers discriminated more than Northern employers.
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