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The required reserve ratio is 20 percent. The central bank sells $1 billion in government securities. What ultimately happens to the money supply?
Compensation for costly environmental policies and protect developing nations from being exploited by restricting international trade? Use examples to illustrate a position.
Which one of the following is the minimum required rate of return on a new investment that makes that investment attractive?
If the wage rate is $30 per hour and the rental rate on capital is $10 per hour, what is the cost-minimizing input mix for producing 4 units of output.
Examine three arguments against the use of active stabilization policies to minimize the economic fluctuation due to short-term demand or supply shocks.
Suppose a commercial banking system has $100,000 of outstanding checkable deposits and actual reserves of $35,000. If the reserve ratio is 20 percent, the banking system can expand the supply of mo
Calculate the initial level of output per person, the growth rate of output per person, and the level of output per person after 100 years.
Which of the following statements, concerning the changes that take place, is correct if you were to make a $ 100 deposit into your checking account at Your Bank?
Locate a global organization that represents transformational change. Describe and illustrate that change with information. Avoid discussing e-business strategies. Does your company incorporate the
Too much exercise harms us, and many other things. Select a human behavior and construct a "mini case study" that highlights the workings of marginal utility.
In many countries, higher education heavily subsidized by the government (that is, university students do not bear the full cost of their college education). While there may be good reasons for hea
Electronic markets, or using instant messaging increase with the number of other users.) How might network externalities affect firm operating strategies (pricing, output, and advertising) and firm
A firm in a purely competitive product market finds it must increase wages to attract extra workers. The firm will hire labor up to the point where the marginal:
The company finds that this system seems to work most of the time with shop floor supervisors and team managers. But the system breaks down for higher-level positions. Why?
Bonuses are provided to the team rather than to the individuals on the team. Write a brief essay that either defends the economists' concern or explain why economists are wrong on this issue.
Draw the aggregate demand-aggregate supply model of the macroeconomic for the short run, assuming that the economy is in the expansionary phase of the business cycle. Label the aggregate demand and
Many firms today use 360-degree performance evaluations. Make a case for this type of evaluation based on the informativeness principle. What problems may be encountered from implementation of such
Why is there so much advertising in monopolistic competition? Pick a product that you have purchased in a monopolistically competitive market structure.
What is the maximum amount it would be worth to shareholders to elicit high CEO effort all the time rather low CEO effort all the time?
He finds that he is overworked and that several of his research scientists seem to be spending work hours playing tennis. What is going on?
Suppose that velocity is constant and the economy's output of goods and services rises by 5 percent each year. What will happen to nominal GDP and the price level next year if the bank of Canada kee
Give a basic explanation of how the multiplier concept is computed, including MPC. Assume that the average American's marginal propensity to consume (MPC) is ½, and American producers' MPC is a
This is consistent with BOP surplus. Why is the BOP shifting right in this case into a deficit? Is it because there is no interest rate to offset the exports in this case?