e current a Country is 39,600 but the full employment GDP is considered to be $10,000. The marginal propensity to save as equired: The Country would like to achieve full employment GDP. Explain how the economy would achieve full employment according to classical economists -pecifically identify what changes would need to take place). The Country would like to achieve full employment GDP. Explain how the economy would achieve full employment according to Keynesian conomists. (Specifically identify what changes would need to take place)
Q: A consulting engineer has been hired to advise a town how best to proceed with the construction of a…
A: Data given:ParticularsConstruction Cost ($)Annual Maintenance Cost ($)First…
Q: 15. The long-run equilibrium (price, output, and a number of firms) in a perfectly competitive…
A: In perfect competition, the long-run equilibrium refers to a state of balance that occurs after all…
Q: If people took external benefits, such as cleaner air, into consideration when deciding how much to…
A: The theory of externalities in economics has been credited to Arthur Pigou, an English economist. In…
Q: An equation of the form y=1 = 7000 (1.09)* provides an example of interest compounded annually. This…
A: Growth rate is the addend by which a quantity increases (or decreases) over time. For example,…
Q: Problem 4. The marginal cost C" for a product as a function of the number of units produced q is…
A: Fixed Cost = 5000MC is depicted in graph below ,
Q: opportunity in tutoring her fellow students before each knowledge of economics eliminates any risk…
A: Efficient quantity is the quantity at perfect competition
Q: If the price elasticity of demand for a product is -2, this means that, ceteris paribus, quantity…
A: Although Marshall has been associated with popularising and formally establishing the concept of…
Q: What is the traditional way economists measure the standard of living? What are some problems with…
A: The traditional way economists measure the standard of living is by using signs such as Gross…
Q: Using ratio estimation, an auditor has taken a sample of 75 from a population's 25,000 items; that…
A: In this question, we are solving for the estimated total audited value of a population using ratio…
Q: For each of the following situations, use the IS-LM-FX model to illustrate the effects of the shock…
A: In the following analysis using the IS-LM-FX model, we examine the effects of various shocks and…
Q: You are given the following equations that represent a market: P=400-4Qd P= 100+Qs what is the…
A: The equilibrium occurs where the demand and supply forces are equal. The price prevailing at…
Q: The following table shows the initial aggregate supply and demand data for a country. Price Level…
A: The macroeconomic equilbrium in an economy is determined by the aggregate demand and aggregate…
Q: Assume that Trinbago is a small country that produces wine and motor vehicles, where motor vehicles…
A: The Heckscher-Ohlin (H-O) trade model is an economic theory that analyzes international trade…
Q: How can Government intervention be required in order to redistribute money and wealth to increase…
A: Government intervention plays a vital role in the redistribution of wealth and the promotion of…
Q: The Law of Demand states that as the price of a good increases, ceferis penbus, the The relationship…
A: Supply and demand model is a partial equilibrium model that describes the relationship between the…
Q: How do you analyze how Publix oligopolies position themselves to be successful?
A: How do Winn-Dixie and other oligopolistic companies position themselves for success? Analyzing the…
Q: (a) How would one estimate the full cost to an airline if one of its planes is held over for 24…
A: (a) Full cost : The complete cost associated with a particular event or activity , taking…
Q: Suppose that yearly inflation for 2020, 2021 and 2022 are 20%, 25% and 20% respectively. If the…
A: CPI is the measure of the aggregate price level in the economy CPI after 3 years would be =…
Q: 1. Should Cheryl Sites recommend a change in strategy? Answer: The company has the largest market…
A: In evaluating whether Cheryl Sites should recommend a change in strategy, several crucial factors…
Q: The maintenance foreman of a plant in reviewing his records found that maintenance costs on a large…
A: Equivalent Uniform Annual Maintenance Cost (EUAMC) refers to the annual cost required to maintain an…
Q: if the reverse requirements is 8% and a banker's new deposit are$50.what is the M1 money supply
A: Money supply alludes to the aggregate sum of money coursing inside an economy at a given moment. It…
Q: Assume that Trinbago is a small country that produces wine and motor vehicles, where motor vehicles…
A: An economic theory known as the Heckscher-Ohlin model uses variations in endowments of factors…
Q: the price of ground beef decreases, which of the following will occur? The demand curve for ground…
A: The equilibrium occurs where the demand and supply are equal. The firm follows the price…
Q: Table below shows total demand and supply of loanable funds (in RM billions) in an imaginary…
A: The market that depicts the interaction between borrowers and lenders in the financial system is the…
Q: identify the four basic market structures, describe their role within health economics, describe the…
A: Market structure in economics means the organizational characteristics and behavior of a market,…
Q: Consider the following market for Tim's Terrible T-shirts a firm company producing in the…
A: A monopolistically competitive market refers to a market arrangement where multiple companies sell…
Q: If a country's GDP is increasing, it means that: 0000 The country's population is growing. The…
A: The definition of GDP of a country is: It is the market value of the final goods and services…
Q: Use this figure for #5, #6 and #7. Y TE BO X 5. Bundle F is not an optimal bundle for consumption…
A: Optimal consumption bundle: The optimal consumption bundle is such that at that bundle the…
Q: 2) Suppose the demand curve for a rubber-based product is Q_D=225-0.5P, and the supply curve is…
A: Demand curve: QD =225-0.5PSupply curve: QS=0.5P-15.External cost: MEC=Q
Q: E.g.1: A demand function is given by the equation P = 24 – 6lnQ - Find the equation of TR (total…
A: TR (total revenue)= P (price) *Q (quantity)MR (marginal revenue) dTR/dQTR is maximum at Q where…
Q: You have $3,000 to spend on entertainment this year (lucky you!). The price of a day trip (T) is $40…
A: Utility is a fundamental concept in economic theory and plays a central role in the study of…
Q: How is peak-load pricing a form of price discrimination? Give an example.
A: Monopolistic competition is one of the various types that a market possesses. Under this structure,…
Q: 4. [In addition to giving you some practice thinking about utility representations, this question…
A: Set X : A set is a collection of distinct objects or elements. In this context , X represents a set…
Q: Suppose Madison operates a handicraft pop-up retail shop that sells cardigans. Assume a perfectly…
A: MC, ATC, and AVC are considered as the cost curves of the firm, and are important because they…
Q: What is the present worth of each project? Project A: $ Project B: $ 573063 -26658
A:
Q: Consider that the market for modified electronic cigarettes, mod e-cigs, is described by the…
A: To analyze the equilibrium in the market for modified electronic cigarettes (mod e-cigs), we'll use…
Q: Suppose Caroline is choosing how to allocate her portfolio between two asset classes: risk-free…
A: An investment is an asset or item obtained determined to create income or appreciation. Appreciation…
Q: Imagine that you are asked to consult with a drama club that puts on a play every year. The club…
A: Cost alludes to how much resources, like money, time, exertion, or opportunity, that is required or…
Q: Alpha limited commenced business on 1January 2022 with a single item of inventory costing £120,000.…
A: There are two type of capital maintenance which is financial capital maintenance and physical…
Q: if the reverse requirements is 8% and a banker's new deposit are $50.what is the M1 money supply
A: To calculate the M1 money supply, we need to know the reserve requirement and the amount of new…
Q: K Does an increase in the supply of tank tops bring a surplus or a shortage of tank tops at the…
A: Shortage: A situation where the quantity demanded of a product exceeds the quantity demanded at a…
Q: Suppose that Brice has an asset worth $200 in the present. That asset will be valued at $340 in 1…
A: In this scenario, we are presented with an asset owned by Brice that is currently valued at $200.…
Q: T-r-a-c-k- -P-h-i-l-i-p-p-i-n-e- -s-t-o-c-k- -e-x-c-h-a-n-g-e- -a-v-e-r-a-g-e- -o-f- -a-n-y-…
A: Tracking the average performance of a business in the Philippines for the month of March is an…
Q: jack consumes bananas and cheese. y units of cheese costs f(y) = ________ liras. Bananas have usual…
A: We take f(y)=2y, that is unit price of cheese is py= 2 liras.Unit price of Bananas is px= 5…
Q: Review the scenario presented below and answer the 3 questions which follow. You are the owner of a…
A: The quantity (Q) of a particular product that consumers are willing and able to purchase at various…
Q: NAME THE FOOD MENU THAT FOUND IN CASUAL AND FINE DINE RESTAURANT SCRAMBLE WORDS 1. KCINHNEC GESTGUN…
A: Hello and welcome to our fun food menu scramble game! In this challenge, we have scrambled the names…
Q: The following graphs show the production possibilities frontiers (PPFS) for Shenandoah and Rainier.…
A: A production possibility frontier (PPF) shows the maximum possible output combinations of two goods…
Q: Why do you think international trade volume has increased over time? In general,how are inefficient…
A: 1. Technological Advancements: Advances in transportation, communication, and information…
Q: The following information for an economy is given. MD: i=0.12-0.00015QM Investment demand:…
A: Aggregate demand is the sum of Consumption, Investment, government spending and net export. Goods…
Q: Review Porter’s Theory of Competitive Advantage and assess the extent to which the model can be used…
A: Porter's Theory of Competitive Advantage provides a framework for understanding the factors that…
Typed plz and asap
Step by step
Solved in 3 steps
- Suppose that there’s a recessionary gap, and the country wishes to produce its potential output. Which of the following policy initiatives might help it reach this goal? A.the government increases taxes on consumers and corporations. B.the government initiates policies that encourage private investment spending. C.the government cuts spending programs. D.the government initiates policies that discourage private investment spending.Businesses in the nation of Islandia have been accumulating cash because they have a pessimistic outlook of the national economy. Recent changes in the economic outlook of Islandia have caused business leaders to begin to invest some of their accumulated cash. Suppose that businesses in the country invest a total of $40 billion of this cash. Instructions: Enter a positive number to show an increase and a negative number to show a decrease. a. What would be the maximum expected change in GDP if Islandia's marginal propensity to consume (MPC) is 0.75? $ billion b. Suppose that the recent economic outlook in the country of Mountainia has been the opposite. Businesses have postponed planned investments and have begun to accumulate cash. If businesses in Mountainia postpone $12 billion of their planned investments, what would be the maximum expected change in GDP if its marginal propensity to save (MPS) is 0.05? $ billionSuppose that a federal election is called at a time when the economy is experiencing a recessionary gap and there is a budget deficit. The leader of Party A promises, if elected, to immediately balance the budget by slashing government spending. The leader of Party B promises, if elected, to stimulate the economy with a tax decrease. What would be the effect of each party's proposed policy on each of the following. a. the level of GDP. b. the level of NTR. The effect of Party A's proposed policy on: (Click to select) (Click to select) c. the level of unemployment. (Click to select) d. the budget deficit. (Click to select) e. the price level (Click to select) The effect of Party B's proposed policy on: (Click to select) (Click to select) (Click to select) (Click to select) (Click to select)
- Consider an economy in which GDP is $8.2 trillion, public saving is -$0.2 trillion, taxes are $0.9 trillion, private saving is $3.0 trillion, export is $0.6 trillion, and import is $0.5 trillion. Calculate government purchases. Calculate national saving and investment. Calculate consumption.a. How does the country’s employment (L) at point D compare to that at point B? Explain your reasoning. b. How does the MPK at point D compare to that at point B? Explain your reasoning. c. How does the MPL at point D compare to that at point B? Explain your reasoning. aggregate production function:In the third quarter of 2008, investment in the U.S. totaled $4,2 trillion and in 2007, investment was $1,4 trillion. In addition, third quarter of 2007 real GDP was $48 trillion. Suppose the MPC in the U.S. is 0.80. Ignoring all other changes in spending, what is the new real GDP?
- QUESTION 7 In reality, AD rarely O decreases; increases at a pace much slower than potential GDP decreases; fluctuates with potential GDP increases; decreases at a pace much slower than potential GDP decreases; increases at a pace much faster than potential GDP stagnates; increases at a pace much faster than potential GDP ; however, the economy performs as though it does when itSuppose that taxes on households are 10, and the government deficit is 5. Pre-tax household income is 90, and private saving is 10. Investment is 10. Calculate GDP. Show your calculations.Suppose GDP is $8 trillion, taxes are $1.5 trillion, private savings is $0.5 trillion, and public savings is $0.2 trillion. Assuming this economy is closed, calculate consumption, government purchases, national saving and investment.
- Q-1 The following table shows income and consumption: Calculate: A- Saving (S), B- Marginal propensity to consume (MPC), C-Marginal propensity to save (MPS), D- Average propensity to consume (APC) E- Average propensity to save (APS). Q-2 Compute the (a) Number of unemployed, (b) Unemployment-rate, (c) Population, and (d) Labor force participation rate, using this data: Number of employed = 1800 million Not in labour force =730 million Number of Labour force =2500 million Q-3 Discuss how to control or reduce the Inflation and Unemployment.Consider the following data for a closed economy: Y = $11 trillion C = $10 trillion G = $2 trillion Spublic = $-0.5 trillion T = $1 trillion Use these data to calculate the following: a. private saving, b. investment spending, c. transfer payments and d. the government budget balance. a. Private saving is: $ trillion. (Round your responses to one decimal place.) b. Investment spending is: $ trillion. (Round your responses to one decimal place.) c. Transfer payments are: $ trillion. (Round your responses to one decimal place.) d. The government budget balance is: $ trillion and as a result the government budget is in (Round your responses to one decimal place.)a. What is the equilibrium rate of real GDP? $ __ billion b. If full-employment real GDP is $800 billion, what problem does this economy have? multiple choice This economy has a recessionary gap. This economy has an inflationary gap. This economy does not have a problem. c. How large is the real GDP gap? $ __ billion