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Consider the table below when answering the following questions. For hypothetical economy, the marginal propensity to save is constant at all levels of real GDP, and investment spending in autonomous. There is no government (see pages 270-276).
A. Complete the table. What is the marginal propensity to save? What is the marginal propensity to consume?
Real GDP - 2,000, 4,000, 6,000, 8,000, 10,000, 12,000
Consumpution - 2,200, 4,000
Investment - 400
Your view about how an individual's health is determined (Theory X) Whether a person is healthy or sick is determined randomly. (Theory Y) Whether a person is healthy or sick depends on lifestyle choices such as whether a person smokes, drinks or wea..
The aluminum industry faces a private marginal cost curve PMC = 2Q and a market inverse-demand curve of PD = 60 – QD. However, production creates an externality with marginal damages of MD = Q. What is the resulting price that consumers face with the..
What is the monetary certainty equivalent for the following gamble: gain $130 with probability 0.4, lose $320 with probability 0.6.
Place the items into the columns according to whether a change in the item would cause the curve to shift. If an item\'s change shifts more than one curve, place it in a single column according to this order: Long Run Aggregate Supply - Short Run Agg..
What is the MRS Is this consumer at an optimum. If not at an optimum should the consumer buy more of the X good or more of the Y good.
Government often grows to meet the demands of the citizenry and so does the costs associated with that growth. Identify an example of growth that was necessary and provide reasons why. Explain why such expansions are needed to meet the needs of socie..
Does your firm have a dominant strategy? Does firm 2? If so, indicate what this strategy is for each. Given b., find the Nash Equilibrium outcome (actions, payoffs) for the one-time interaction.
Consider the statement, “Monopoly power comes from market acceptance, not from a patent, a prettier product, a slick advertising campaign, or anything else. So rather than spend your time in court, you should be out there drumming up business.” Do yo..
Select a good that you are familiar with. What are the factors that shift the demand curve for this good? What are the factors that shift the supply curve for this good?
What assumptions do you make answering this question. Elucidate distortions do you think would appear in the economy if such a tax were introduced.
As a result of standardized products, under perfect competition:
q.suppose when russia opens to trade which introduced automobiles a capital-intensive good.a. according to the
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