Investment multiplier and a consumption multiplier
What are the differences and similarities between the investment multiplier and a consumption multiplier? How is the mpc different than the multiplier? Explain what is the use of each one in the economy?
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Determine (solve for) the equilibrium level of income or GDP (Y). Determine the impact on income of a 50 increase in government spending from 250 to 300. Using the original data, compute the impact of a 50 decrease in taxes from 125 to 75.
A soft drink producer must decide how to divide its spending between two forms of media: TV advertising and magazine advertising. Each 30 second commercial on prime time network TV costs $120,000 and,
If the MPP of labor is 60 and the price of labor per period is $20,the MPP of machinery is 75 and the price of the machinery per period is $25, in order to achieve optimal input poportions the firm should use
Advocates of using budget surpluses to bolster the social security trust fund say that:
Suppose we refused to sell goods to any country that reduced or halted its exports to us. Who would benefit and who would lose from such retaliation? Can you suggest alternative ways to ensure import supplies?
Domestic producers often base their claim for import protection in the fact that workers in country X are paid substandard wages. Is this a valid argument for protection? Can you give examples of when it did/did not work?
A government budget deficit is financed by a combination of
One of the most important skills to learn in managerial economics is the ability to identify a good business. Discuss at least four characteristics of a good business.
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