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The reserve ratio of country Alpha is 12%. John makes a bank deposit $200 in Bank Gamma
1) Show how the bank reserves, bank deposits and amount of loans in the economy will change after 4 rounds of loans are given out by Bank Gamma
2) What is the money multiplier?
3) By how much will the money supply change in the economy?
Open the Main Menu form in Design view. Add three buttons below the Forms label that will open the three forms in the database: Enter Customers, Enter Employees, and Enter Suppliers (in that order and to show all records).
Draw the long run a agregate supply curve in an AD - AS ( aggregate demand - aggregate supply) diagram
Discuss how conservatives, liberals and radicals explain the causes of and solutions to poverty. what evidence do they use to support their view.
Explain why is efficiency lost at the extremes as when substantially more of one good and very little of another is produced?
Explain why it is important that prices are flexible in our economy? What are the implications if the government started to control prices for products, how would this influence buying?
If the wage rate is $30 perhour and the rental rate on capital is $10 per hour, what is the cost-minimizing input mix for producing 4 units of output?
You are a fixed income fund manager based in euroland. Other than return of the EUR bond market. Demonstrate the benefits of international diversification by investing 70% of your portfolio in EUR bonds, 30% in UK bonds.
About 30 US localities circulate their own currency with names such as "Ithaca Hours" and Dillo Hours." Doing so is perfectly legal
What is the current GDP growth rate for the U.S.? Examine the trend over the past few years. What trends interest you? What stage of the Business Cycle would the U.S. economy be in currently given the trends?
Elucidate as carefully as you can why borrowers would be willing to pay a higher rate of interest.
Administrative work: Exactly 2 workers are necessary to perform the administrative work for the business to operate. The administrative workers do not generate revenue.
Economics 442: Macroeconomic Policy - Problem Set 1. Assume G increases by ΔGO, and is completely bond financed (and there are no portfolio effects here). Calculate the government spending multiplier
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