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Suppose that you are the chiefeconomic advisor to the president of the U.S. You are asked topropose a strategy to bring the economy out of recession. Your goalis to avoid inflation and yet bring the economy to full employmentas rapidly as possible. What will be your main strategy? Why?
A corporation bought a machine for $100,000 four years ago. It was being depreciated on a straight line basis over five years. The company decides to replace this machine today.
What is opportunity cost? Explain with the help of an example, why assumption of constant opportunity cost is very unrealistic? Explain law of demand with the help of a demand schedule and demand curve.
Elucidate the factors which contribute to the elasticity of goods. Descriobe how these factors influence consumers to purchases goods or services.
You have just won a lottery! You will receive $50,000 a year beginning one year from now for twenty years. If your required rate of return is 10 percent,
In March of year 2020, the Performance Marketing Company begins construction on a new warehouse.. This warehouse operation will be the only business activity of this new company (thus this is a small company with no other taxable income besides th..
Why is an increase in the number of varieties of a good regarded as a gain from trade? Can you think of economic disadvantages associated with greater product variety? Explain. Is the distinction between "intra-industry trade" and "inter industry t..
Last year, Pat and Chris occupied separate apartments. Each consumed 400 gallons of hot water monthly.
Economists insist on reviewing what happens as each assumption is relaxed one at a time. However, it is clear that in real world all four are relaxed simultaneously. Why does economic analysis insist on such an unrealistic analysis? The simple ..
Engineers at the national research laboratory built a prototype automobile that could be driven 180 miles on a single gallon of unleaded gasoline.
It contained a description of a new product announcements for the next two years. Not only was it intended for a small circle of senior executives but it also answered the questions she had recently proposed to an external research firm.
Illustrate what would the Fed do if wanted to raise interest rates. What if it wanted to lower interest rates.
The spreadsheet lists components of aggregate planned expenditure in the United Kingdom. The numbers are in billions of pounds.
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