Economics

Suppose the closed private economy is described by the following equations: C =

Suppose the closed private economy is described by the following equations: C = $90 + 0.8%, and i-S50 (a) What is the value of autonomous spending? of the spending multiplier? (b)…

Suppose the commercial banks keep no excess reserves, and people deposit all mon

Suppose the commercial banks keep no excess reserves, and people deposit all money they receive into the banking system. Suppose the required reserve ratio is 0.2. Suppose the Fed…

Suppose the consumption function is C = $300 million + 0.90YD, where disposable

Suppose the consumption function is C = $300 million + 0.90YD, where disposable income YD = Y – T, and T represents lump sum taxes. Suppose equilibrium output Y is $4,000 million …

Suppose the consumption of gold offers people a marginal utility that diminishes

Suppose the consumption of gold offers people a marginal utility that diminishes as that person consumes more gold. Assume also that gold can be mined in unlimited amounts at the …

Suppose the cost function (long run) for a firm is given by C(q,w) = wq^2 - 100q

Suppose the cost function (long run) for a firm is given by C(q,w) = wq^2 - 100q + 100, where w is the wage for the labor input and q is total output. Market demand is given by Q=…

Suppose the cost of producing a 30 second commercial for television is $100,000.

Suppose the cost of producing a 30 second commercial for television is $100,000. If airtime on the evening news costs $200,000 and is viewed by 5 million people, what is the adver…

Suppose the costs (in cents) per passenger-mile of operating a jumbo jet on flig

Suppose the costs (in cents) per passenger-mile of operating a jumbo jet on flights of 1,200 and 2,500 miles with 250, 300, and 350 passengers aboar are: Miles Pass 1,200 2,500 25…

Suppose the country that pegs its currency has an overvalued real exchange rate

Suppose the country that pegs its currency has an overvalued real exchange rate and that output is currently above the natural level of output. Which of the following will occur a…

Suppose the country, Burondo, is one of the poorest countries in the world. Its

Suppose the country, Burondo, is one of the poorest countries in the world. Its economy is heavily reliant on income from the export of oil. There are only two oil extracting comp…

Suppose the currency-to-deposit ratio is 0.25, the excess reserve-to-deposit rat

Suppose the currency-to-deposit ratio is 0.25, the excess reserve-to-deposit ratio is 007, and the reqpuired reserve t is 005. Which wil have a larger impact on the money multipli…

Suppose the currency-to-deposit ratio is 0.3, the excess reserve-to-deposit rati

Suppose the currency-to-deposit ratio is 0.3, the excess reserve-to-deposit ratio is 0.06, and the required reserve ratio is 0.05. Which will have a larger impact on the money mul…

Suppose the current CanadaUK exchange rate is 0.63 pounds (the pound is the UK c

Suppose the current CanadaUK exchange rate is 0.63 pounds (the pound is the UK currency) per dollar, and the aggregate price level is 170 for Canada and 140 for the UK. a. What is…

Suppose the current U.S.UK exchange rate is 0.63 pounds (the pound is the UK cur

Suppose the current U.S.UK exchange rate is 0.63 pounds (the pound is the UK currency) per dollar, and the aggregate price level is 170 for the U.S. and 140 for the UK. a. What is…

Suppose the current demand for a product X is P Q Demanded $14 20000 15 18000 16

Suppose the current demand for a product X is P Q Demanded $14 20000 15 18000 16 16000 17 14000 18 12000 19 10000 20 8000 21 6000 22 4000 23 2000 24 1000 The industry is perfectly…

Suppose the current money stock in the economy is $1 billion, and the central ba

Suppose the current money stock in the economy is $1 billion, and the central bank imposes each bank to hold at least 10% of deposits as reserves. a. If people hold all the money …

Suppose the current money supply is $20,000. The reserve requirement is 0.10. Th

Suppose the current money supply is $20,000. The reserve requirement is 0.10. The Fed wants to decrease the money supply by $1000. Assume that banks do not hold excess reserves an…

Suppose the current price of oil is $120 per barrel. At its next meeting, OPEC d

Suppose the current price of oil is $120 per barrel. At its next meeting, OPEC decides to increase crude oil production by 10%. Assume that OPEC accounts for 40% of the world's su…

Suppose the current, zero-coupon, yield curve for risk-free bonds is as follows:

Suppose the current, zero-coupon, yield curve for risk-free bonds is as follows: Maturity (years) Yield to Maturity 4.21% 4.56% 4.89% 5.28% 5.54% a. What is the price per $100 fac…

Suppose the daily benefits to being married or divorced to some married couple a

Suppose the daily benefits to being married or divorced to some married couple are given in the following table: Husband wife married $60 $50 divorce $75 $40 a) Under a strict div…

Suppose the demand and supply curves for pizza is given by: Qd = 400 - 20P and t

Suppose the demand and supply curves for pizza is given by: Qd = 400 - 20P and the market supply is given by: Qs = 20p - 200, where P = price (per pizza) a) In equilibrium, how ma…

Suppose the demand and supply curves for prescription drugs are given below: Qd

Suppose the demand and supply curves for prescription drugs are given below: Qd = 600 -P Qs = 2P a. What is the competitive equilibrium price and quantity? The government decides …

Suppose the demand and supply of clothing is given by the following two function

Suppose the demand and supply of clothing is given by the following two functions (where Q is measured in millions of units): QD = 165-2p and QS = 3p. a) Solve for the equilibrium…

Suppose the demand and supply of clothing is given by the following two function

Suppose the demand and supply of clothing is given by the following two functions (where Q is measured in millions of units): QD = 165-2p and QS = 3p. a) Solve for the equilibrium…

Suppose the demand and supply schedules for rental apartment in the city of Goth

Suppose the demand and supply schedules for rental apartment in the city of Gotham are given below Monthly Rent $2500 $2000 $1500 $1000 $500 Apartment Demanded 10,000 12,500 15,00…

Suppose the demand curve for UK basketball tickets is perfectly elastic but the

Suppose the demand curve for UK basketball tickets is perfectly elastic but the supply curve for UK basketball tickets is not perfectly elastic or perfectly inelastic. If the equi…

Suppose the demand curve for a monopolist is QD=500-P and the marginal revenue f

Suppose the demand curve for a monopolist is QD=500-P and the marginal revenue function as MR=500- 2Q The monopolist has a constant marginal and average total cost of $50 per unit…

Suppose the demand curve for a monopolist is Qd=500-P, and the marginal revenue

Suppose the demand curve for a monopolist is Qd=500-P, and the marginal revenue function is MR=500-2Q. The monopolist has a constant marginal and average total cost of $50 per uni…

Suppose the demand curve for a product is given by Qd = 300 - 2P + 4I, where I i

Suppose the demand curve for a product is given by Qd = 300 - 2P + 4I, where I is average income measured in thousands of dollars. The supply curve is Qs = 3P - 50. a. If I=25, fi…

Suppose the demand curve for a product is represented by a typical downward - sl

Suppose the demand curve for a product is represented by a typical downward - sloping curve. Now suppose the demand for this product decreases. Which of the following statements a…

Suppose the demand curve for desktop computers shifts rightward and at the same

Suppose the demand curve for desktop computers shifts rightward and at the same time the supply curve shifts leftward. Which of of the following could have caused these shifts? a.…

Suppose the demand curve for oranges is given by the equation Q = 200 P + 1000 w

Suppose the demand curve for oranges is given by the equation Q =200P+ 1000 with quantity (Q) measured in oranges per day and price (P) measured in dollars per orange. The supply …

Suppose the demand curves for a product in two segmented markets are given by p1

Suppose the demand curves for a product in two segmented markets are given by p1 = 12 Q1 and p2 = 24-2Q2. ptachya is a monopolist who produces the product at a marginal cost of $4…

Suppose the demand for Brand A Ice Cream is characterized by the following point

Suppose the demand for Brand A Ice Cream is characterized by the following point elasticities: own price elasticity = -0.8 cross-price elasticity with Brand B Ice Cream = +2 incom…

Suppose the demand for Brand A Ice Cream is characterized by the following point

Suppose the demand for Brand A Ice Cream is characterized by the following point elasticities: own price elasticity = -0.8 cross-price elasticity with Brand B Ice Cream = +2 incom…

Suppose the demand for a Czech novel translated into English is perfectly inelas

Suppose the demand for a Czech novel translated into English is perfectly inelastic. Assume the initial price of the translated novel is $30.00 and the quantity demanded is 882 co…

Suppose the demand for a Czech novel translated into English is perfectly inelas

Suppose the demand for a Czech novel translated into English is perfectly inelastic. Assume the initial price of the translated novel is $25.00 and the quantity demanded is 391 co…

Suppose the demand for a particular product (swimsuits) is highly inelastic.What

Suppose the demand for a particular product (swimsuits) is highly inelastic.What does that suggest about the wage elasticity of demand for workers in the industry that produces sw…

Suppose the demand for a product is given by P = 100 - 2Q. The supply is given b

Suppose the demand for a product is given by P = 100 - 2Q. The supply is given by P = 20 + 6Q. If an $8 per unit excise tax is levied on the buyers of a good, then after the tax t…

Suppose the demand for a product is given by P = 30 %u2013 3Q. Also, the supply

Suppose the demand for a product is given by P = 30 %u2013 3Q. Also, the supply is given by P = 10 + Q. A) (2 points) What is the equilibrium price and quantity of the product? B)…

Suppose the demand for a product is given by P = 30 – 3Q. Also, the supply is gi

Suppose the demand for a product is given by P = 30 – 3Q. Also, the supply is given by P = 10 + Q. A) What is the equilibrium price and quantity of the product? B) What is the pri…

Suppose the demand for a product is given by P = 30 – 3Q. Also, the supply is gi

Suppose the demand for a product is given by P = 30 – 3Q. Also, the supply is given by P = 10 + Q. A) What is the equilibrium price and quantity of the product? B) What is the pri…

Suppose the demand for a product is given by P = 40 %u2013 4Q. Also, the supply

Suppose the demand for a product is given by P = 40 %u2013 4Q. Also, the supply is given by P = 10 + Q. A) (2 points) What is the equilibrium price and quantity of the product? B)…

Suppose the demand for a product is given by P = 40 %u2013 4Q. Also, the supply

Suppose the demand for a product is given by P = 40 %u2013 4Q.  Also, the supply is given by P = 10 + Q. ?A) (2 points) What is the equilibrium price and quantity of the product??…

Suppose the demand for beer is characterized by the following point elasticities

Suppose the demand for beer is characterized by the following point elasticities: own price elasticity = -2.5 cross-price elasticity with soda = +3 income elasticity = +2 Based on…

Suppose the demand for computers by Taiwanese consumers is given by P=6,000 - 2

Suppose the demand for computers by Taiwanese consumers is given by P=6,000 - 2 D Q , where QD is the annual quantity of computers demanded and P is the price per computer in doll…

Suppose the demand for eggs is: Q=8,000-3,000P and the supply of eggs is: Q= -50

Suppose the demand for eggs is: Q=8,000-3,000P and the supply of eggs is: Q= -500+2,000P, where quantity is measured in millions (of eggs). Find the market-clearing price and quan…

Suppose the demand for electricity is given by P = 100-2Q, and the supply schedu

Suppose the demand for electricity is given by P = 100-2Q, and the supply schedule is given by P = 10+4Q. a)Determine the equilibrium P & Q in this market. Calculate CS, PS, a…

Suppose the demand for good X is given by Q d x = 10 + a x P x + a y P y + a M M

Suppose the demand for good X is given by Qdx = 10 + axPx + ayPy + aMM. If ay is positive, then: A. goods y and x are complements.B. goods y and x are inferior goods.C. goods y an…

Suppose the demand for inkjet printers is estimated to be Q = 1000 - 5 p + 10 p

Suppose the demand for inkjet printers is estimated to be Q = 1000 - 5p + 10pX - 2pZ + 0.1Y. If p = 80, pX= 50, pZ= 150, and Y = 20,000, answer the following sub-questions: [5 pts…

Suppose the demand for money is (M/P)^d = kY where k is a constant. In this econ

Suppose the demand for money is (M/P)^d = kY where k is a constant. In this economy, the money supply grows by 6% per year and real incomes grow by 4% per year. a) What is the ave…