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Tax cuts of $100 billion stimulate the economy less than government spending increases of $100 billion do. Explain the reason why tax cuts stimulate the economy less.
Business Economics, Economics
Researchers at a University decided to test the hypothesis that restaurant servers who squat to the level of their customers would receive a larger tip. In the experiment, the waiter would flip a coin to determine whethe ...
McCann Co. has identified an investment project with the following cash flows. Year Cash Flow 1 $800 2 1,090 3 1,350 4 1,475 a. If the discount rate is 7 percent, what is the present value of these cas ...
A firm produces Product A and Product B. This years sales price of Product A have decreased tremendously, and the sale of Product B has increase by 10 percent. The firm has threeemployees that can produce Product A and f ...
What exactly does the z score explain about the data set? Does it matter if the z score is positive or negative?
Investors are evaluating two 6-year bonds at time t in a financial crisis setting where there is a strong likelihood of default. Assume the following values for the probability of default (z) of the two bonds, issued res ...
Link changes in unemployment, inflation, wages, and GDP to one another and how they impacted each other during periods of economic decline (recessions) and periods of economic growth (expansion) over the past 10 years.
Consider a firm that faces the following expected future marginal product of capital: MPKf =1000- 2K Where MPKf is the expected future marginal product of capital and K is the capital stock. The price of capital, pk, is ...
Why are farmers paid so little? The price of agricultural goods like chickens and coffee has been falling for decades and the share going to farmers has also been falling. What is the "Global division of labor" in food p ...
Suppose a consumer is trying to make a choice over the consumption of two goods: x and y. Px = 3, Py = 4 and the income is equal to 50. Assume that the government distributes some stamps that are good to buy 5 units of g ...
1. Explain why Fukayama thinks we are at the "end of history". How do you respond to his contention? 2. Explain what information a Lorenz curve gives you. How is this information summarized by a Gini coefficient. 3. Expl ...
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