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Political Instability Abroad Suppose that political instability in other countries makes people fear for the value of their assets in these countries so that they desire to purchase more U.S assets.
Refer to Political Instability Abroad. What would the change in the exchange rate make happen to U.S. net exports and U.S. aggregate demand?
A. Net exports would rise which by itself would increase U.S. aggregate demand.
B. Net exports would fall which by itself would decrease U.S. aggregate demand.
C. Net exports would fall which by itself would increase U.S. aggregate demand.
D. Net exports would rise which by itself would decrease U.S. aggregate demand.
Explain how the Fed's use of its three tools of monetary policy affect supply and demand in the market for reserves and the equilibrium federal funds interest rate.
Define adverse selection in a general way and then provide a more specific definition of adverse selection in an insurance market and explain how adverse selection manifests itself and becomes a problem in insurance markets.
What is the profit-maximizing price and output level? Solve this algebraically for equilibrium P and Q and also plot the MC, D and MR curves and illustrate the equilibrium point.
Prove that giffen goods have a positively sloped demand curve and a backward bending price consumption curve.
q1. exchange-rate adjustments please respond to the followingapply the marshall-lerner condition of the elasticity
Using the ITT Tech Virtual Library, research information on companies that have engaged in monopoly behavior, such as Microsoft, Google, or Wal-Mart, and explain how society has been affected by the monopoly behavior using that information.
Robert and Janet are discussing unemployment and inflation in their country. On the basis of a recent newspaper report, Robert claims that a 5% reduction in unemployment will lead to a 2% rise in inflation. On the other hand, Janet insists that infla..
Describe the characteristics of each of the following trade blocks. Be certain to explain the ways in which they are the same and the ways in which they differ.
Rent seeking:
Discuss some of the decisions that you must make in the short run and what might you consider to be your "fixed factor"
A manufacturing firm has received a contract to assemble 1000 units of test equipment in the next year. The firm must decide how to organize its assembly operation. Skilled workers, at $33 per hour each, can individually assemble the test equipment i..
Compute the industry o/p also marketplace share at the present price of $2,200, assuming the prices are stable also un such as to change.
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