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a) According to the textbook, why is education is heavily subsidized by taxpayers' dollars? Explain.
b) Your friend from high school who took a full time job right after they graduated has earned about $70,000 in the last three years. They state: "education is overrated". Based on your studies in labour economics are they correct? Explain.
The textbook is ''An Introduction to the Canadian Labor Market ''.
Watch the movie “A Beautiful Mind”. Pay attention to the scene where Nash argues for an optimal equilibrium (the bar scene). Would you say that his “equilibrium” constitutes Nash equilibrium? Explain.
What do the unusually large maturity yield differentials noted above suggest about investor expectations of future short term interest rates?
Amaranda and Bartolo consume only two goods, X and Y. They can trade only with each other and there is no production. The total endowment of good X equals the total endowment of good Y. Amaranda's utility function is U(xA, yA) = max{xA, yA}
If deficit spending -crowds out some private investment, could future generations become worse off? If external financing eliminates crowding out, are future generations thereby protected?
Which you experienced the law of diminishing marginal returns. How did this affect you? Your journal entry must be at least 200 words in length.
List all of the coordinates for relevant intercepts and kink points for both the original budget line (i.e. the case with no taxes) and your post tax budget
Part B - Macroeconomics - Calculate GDP using the income method and calculate GDP using the expenditure method at market prices;
Where q is the number of hours of music he plays, and y is his consumption of all other goods. Each hour of music he plays costs him $2 in electricity, but his income is large enough that he could always afford to play music 10 hours a day if he so w..
Suppose that the economy is thought to be 2% above potential (that is, the output gap is 2%) when potential output grows 4% per year. Suppose also that the Fed is following the Taylor rule, with an inflation rate of 2% over the past year.
If the market price is $10, what is the firm's profit maximizing level of output? Explain. What are the firm's profits at the profit-maximizing output level? Explain.
In the United Stats, a three-pound can of coffee costs $5. If the exchange rate is 0.6 euros per dollar and three-pound can of coffee in Belgium costs t 4 euros. What is the real exchange rate?
This reduction in demand will push the equilibrium price and quantity back to its original level. Since the equilibrium price remains unchanged, smokers will consume the same number of cigarettes" Do you agree or disagree with this view?
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