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When the nominal rate changed the real rate usually moved in the same direction and that this “is what Taylor’s Principle requires”. Explain why it is that Taylor’s Principle requires that every time a central bank changed the nominal rate it does this in such a way that the real rate will change in the same direction.
What would be the equilibrium price? What is the equilibrium quantity? Calculate the deadweight loss created by the tax.
Briefly state the basic characteristics of pure competition, pure monopoly, monopolistic competition, and oligopoly. Under which of these market classifications does each of the following most accurately fit?
A leading organization, inspired by the Grameen bank, is attempting to provide loans to small farmers. it is leading to farmers in groups of two. Explain three reasons why a strategy of group leading may be better than a strategy of lending to indivi..
The supply and demand curves are: Qs = - 800 + 15p and Qd = 3200 - 25p. Solve for the market equilibrium. Now suppose a tax of $20 per unit is imposed on consumers. What are the new equilibrium quantity, buyer's price and seller's price? What is tax ..
Identify five to ten policies the government uses to stabilize the economy and summarize the arguments for and against using fiscal and monetary policies to stabilize the economy.
What effect, if any, does each of the following events have on the price elasticity of demand for corporate-owned jets?
Question: What is the "current macroeconomic situation" in the U.S. (e.g. is the U.S. economy currently concerned about unemployment, inflation, recession, etc.)? What fiscal policies and monetary policies would be appropriate at this time?
In the wake of corporate scandals at Enron, Tyco, and WorldCom, some argue that managers of large, publicly owned firms sometimes make decisions to maximize their own welfare as opposed to that of stockholders. Does such behavior create problems in u..
Illustrate what do you think would be the short-run impact on the firm's production.
The Wall Street Journal (newspaper) of September 9, 2016, reported "recent tropical storms and hurricanes in the Gulf of Mexico interrupted oil shipments to oil refineries in the area." When an economist says the "supply of oil decreased" she means t..
Multi part question what strategy was developed by Henry Ford to compete in car industry and in what ways did changes in the competitive environment of car industry affect GM strategy in 1980s?
about the situations when a differentiation strategy is chosen? Provide specific real world examples.
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