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Problem 1:
a) Explain the different types of unemployment that exist.
b) Critically examine how monetary policy can be used to deal with inflation.
c) Critically examine how fiscal policy can be used to deal with unemployment.
d) What are the causes of inflation?
Consider a two-period economy with a single commodity (say leisure): x1 is the con- sumption of leisure in period 1, and x2 is the consumption of leisure in period 2. When Peter ev
what do you understand by production posibility curve?
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discuss the implications of various market structure for price determination
why does the quantity of salt tend to be unresponsive to changes in its price
In year one, suppose the federal government has no national debt and spends $100 billion, while raising only $50 billion in taxes. The U.S. Treasury will issue $ billion of governm
Most lotteries in the United States pay their winnings over time. For illustration, a million-dollar winner will receive $100,000 initially and the rest in equal installments over
Allocative Efficiency The production of products and services such that stages of production are closely tied to levels of customer demand.
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