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1. It is often said that the Federal Reserve Board typically cares more about inflation and less about unemployment than the administration. If this is true, why might presidents often worry about what the Fed might do to interest rates?
2. The year 2007 closed with the unemployment rate around 5 percent, real GDP barely growing, inflation above 2 percent and apparently rising a bit, and the federal budget showing a large deficit.
a. Give one or more arguments for engaging in expansionary monetary or fiscal policies under these circumstances.
b. Give one or more arguments for engaging in contractionary monetary or fiscal policies under these circumstances.
c. Which arguments do you find more persuasive?
What is meant by immiserizing growth? Which type of growth will most likely lead to an increase in the nation's welfare?
If Adi believes that Jill will abide by their collusive agreement and perform only three surgeries, find a number of surgeries that Adi could perform that would maximize his profits.
Calculate the marginal product for each additional worker Each unit of output sells for $10. Calculate the value of the marginal product for each worker. Graph the firm's demand schedule.
Would your answer change if you thought different German and Japanese policies might facilitate different U.S. policies?
Explain how the nominal dollar/euro exchange rate would be affected (all else equal) by permanent changes in the expected rate of real depreciation of the dollar against the euro.
Check that the relation between these average and marginal products satisfies the properties that we discussed in Section 7.2.
Autie Frannie wants to help pay for her twin nephews to attend a private school. She intends to send a cheque for $2,000 at the end of each of the next eight years to apply to the cost of schooling. a) If general price inflation, as well as tuiti..
Consider the linear demand function Q = 20 .05P. a. Write the inverse demand function. b. Write the totale revenue function. c. Using calculus, find the level of output, Qrmax.
The income tax system in a country requires each citizen to pay 10% of income on earnings up to $40,000, and then pay 20% on any earnings over $40,000. If an individual has an income of $69971, then what is his marginal tax rate, in percentage te..
Calculate the profit-maximizing point: MR - MC = 0. Explain your answer and calculate the revenue-maximizing level of output.
What do you view as the top two challenges for a supply chain leader in creating and advancing a successful supply chain? What levers are available to overcome or eliminate the challenges presented?
Establish a similar equivalence for a classification network.
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