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What will happen to AD and total income if G is reduced, ceteris paribus?
A. They will fall
B. They will rise
C. They will stay the same
If tax rates stay the same, what will happen to total tax revenue?
A. It will rise
B. It will fall
C. It will stay the same
Illustrate what is the relationship between the Phillips curve, cumulative demand also cumulative provide.
the technology is now developing so that road use can be priced by computer. A computer in the surface of the road picks up a signal from your can and automatically charges you for the use of the road. Explain how would this affect bottlenecks and..
Some firms with monopoly power are more focused on market share, size and influence in the economy. This is particularly true if there is a tendency for ownership (stockholders) and control (managers) to be separated. These firms sometimes are willin..
South Korea can produce a maximum of 600 million toaster ovens or 900 million tons of rice per year. The U.S. can produce a maximum of 700 million toaster ovens or 1,000 million tons of rice per year.
A medical expenses billing firm wishes to hire a software firm to design its software to more efficiently handle its billing. Having the programming redesign is worth $1.5 million to the billing firm. The software firm can write and install new progr..
George and Ellen operate a business and make a profit. Is this good or bad? Would it have been better if they had made a loss? Explain. How do people earn income? If you purse a career and become incredibly rich, have you done so at the expense of ot..
Producer surplus is measured as the area
What is the importance of the political ideology as a key determinant of government policy toward Foreign Direct Investment (FDI)?
Politicians are often heard saying that tuition at state universities should be kept low "to make education equally accessible to all residents of the state, regardless of income." Think about the flu shot in the context of a public good. What are th..
How much excess reserve does your deposit generate for the bank? What is the maximum amount of new money that can be created in the banking system as a result of this deposit? Show all work.
You learned that Texas has a tax system that is generally “regressive” because it relies heavily on sales taxes rather than income taxes. What are the definitions of regressive, flat, and progressive when it comes to taxes? Why a sales tax is conside..
Suppose the entire civilian labor force is 20,000 people and the number of unemployed is 2,000 people.
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