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Joe has preferences over pizza (p) and beer (b) given by U = pb. The marginal utilities are MU p = b and MU b = p, and Joe's income is I = 60. 1. Find Joe's optimal consumptio
You are given the following information about an economy: Gross Investment = 40 Govt. purchases of goods & service =
The government in the cross model Net taxes NT(Y) depends positively on real GDP in the cross model In this model when national income increase
what does phillip curve signify? how do you reconcile the difference in the shap of the curve in the short run and the long run?
Q. Illustrate diffrent types of interest rates? There are many other interest rates in a society. For instance, you will earn interest when you deposit money in a bank account
factors that causes the shifts in balance of payments
Illustrate the circular flow of income and expenditure according to their models ( classical and keynesian)
Suppose you have the following information about a closed economy: C = 50 + 0.80 (Y-T) I = 200 G = 100 a) Find out the equilibrium level of income. b) Suppose G in
If rice production is land intensive and computer production is labor intensive, though both good require some land and labor, the two-good production possibilities frontier will c
The events X and Y are mutually exclusive. Suppose P(X)=.05 and P(Y) =.02. What is the probability of either X or Y occurring? What is not probability of X nor Y happens?
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