1. Write your regression equation i.e. demand function
2. Enter data provided into excel or statplus as per instructions attached and run your regression / derive your coefficient estimates

Q3 [1 point]: What is the purpose of a dendrogram and what are the drawbacks of trying to use one?

We are at a point that trust is so low it is regarded as a crisis. Why is this happening? What do we do about it? What are the implications for business? (Do a search for the Edelman Trust Barometer--include something from it in your response)

You run a school in Florida. Fixed monthly cost is $5,021.00 for rent and utilities, $5,703.00 is spent in salaries and $1,741.00 in insurance. Also every student adds up to $101.00 per month in stationary, food etc. You charge $619.00 per month from every student now. You are considering moving the school to another neighborhood where the rent and utilities will increase to $11,633.00, salaries to $6,560.00 and insurance to $2,034.00 per month. Variable cost per student will increase up to $190.00 per month. However you can charge $1,122.00 per student. At what point will you be indifferent between your current mode of operation and the new option?

Consider a Specific Factors model of a competitive economy in which 2 goods (Manufacturing products and Agricultural products) are each produced with a specific input (capital and land respectively) and labour is an input in the production of both goods.

1. Assume that the economy exports agricultural products. Use a PPF diagram with Agriculture on the vertical axis to illustrate this equilibrium and clearly show how much of each good is produced, consumed and traded.
2. Illustrate the impact on the equilibrium of an increase in the relative price of manufacturing goods that does not eliminate the economy’s comparative advantage in agricultural goods . Again, show amounts produced, consumed and traded.
3. Will this increase raise or lower the return to land? Explain your answer in detail.

Explain how potentially the elimination of Dodd-Frank might increase the “supply” of financial services brought to us by Goldman Sachs, Bank of America/Merrill Lynch and other firms.

What is included in bank supervision?

Monitoring risky investments, setting bank liability requirements, and adjusting reserve requirements.

Setting bank capital requirements, setting restrictions on types of loans a bank can make and maximum reserve requirements.

Ensuring bank net worth remains positive, setting restrictions on investments and minimum reserve requirements.

A critical function of the private banking system is ________?

Establishing the links between savers and borrowers.

Keeping transactions records to assist the government in collecting taxes.

Minimizing risks for investors.

When the central bank decides it will buy bonds using open market operations

the money supply decreases.

the money supply increases.

interest rates decrease.

A central bank that desires to reduce the quantity of money in the economy can:

raise the reserve requirement.

lower the discount rate.

lower the reserve requirement.

Why to the seven Federal Reserve remain for a long time with staggered terms on the Fed Board of Governors?

It enables networked relationships to be built in order to make financial changes to the economy quickly.

The length of time allows the board members to build up on-the-job wisdom and seniority.

The staggered, longer terms insulate members from current political pressure so they can focus only on economic solutions for the U.S.

Lower reserves requirements, lead to a ________ in interest rates and a/an ________ in the money supply.

fall; increase

fall; decrease

rise; decrease

What happens to the money supply if the Fed lowers the discount rate?

it decreases, and then increases

it decreases

it increases

If the Fed increases the discount rate, then Key Bank will

increase its reserves.

decrease its reserves.

make more loans.

A contractionary or tight monetary policy

reduces borrowing.

stimulates borrowing.

lowers interest rates.

QUESTION 6

6.1 Briefly discuss the main components of total spending in the economy.

6.2 Identify the THREE (3) main withdrawals (or leakages) from the circular flow of income and spending in

an open economy.

6.3 Explain with examples, the following:

6.3.1 Constant returns to scale.

6.3.2 Increasing returns to scale.

6.3.3 Decreasing returns to scale.

My question has to do with the Phillips curve with Samuelson and Solow. They measured price inflation against the unemployment rate. The thing that I am confused about is why is stagflation extremely unlikely? I understand fewer people are buying things but wouldn't that make the price of some things then go up?

Use the AD-AS diagram to show the impact of the COVID-19 virus epidemic on the Canadian economy in the short run and the medium run. What type of policies (fiscal/monetary) can help the economy in the short run? Show on the diagram.

2. Refer to the table below to briefly explain whether each firm will continue to produce (operate) or not (shut-down) in the     short-run. Also explain whether each firm will expand or exit the industry in the long-run.

ISSUES ANALYSIS: You should prepare a brief (350 – 500 words) analysis of an issue relevant to Macroeconomic. Pick a topic. The purpose of these analysis assignments are to analyze a current issue. To do this, you should obtain a news article from a reputable news source, and conduct an analysis of the topic.

explain how a market economy allocates resources to produce goods and services. As part of your answer, discuss (a) how prices and quantities are determined, (b) how markets respond to external shocks, and (c) how we evaluate market outcomes.