1. All of the economic thinkers that we have covered so far, including the mercantilists, the physiocrats, Adam Smith, Malthus, and Ricardo, have dealt with the topic of international trade as well as international trade policy. With the exception of Malthus, discuss the evolution of their ideas regarding those topics. You should mention their ideological leanings as well as the substance of their views. Do not forget to mention their policy recommendations.

What are the five major categories of pricing strategies? Give two examples of each category. Note: my subject is INTRODUCTION TO BUSINESS.  

Explain the Fisher Quantity Theory of Money

What benefits do undocumented workers bring to the state economy? What costs do they bring? Do you believe they are a net economic gain or drain for the state?

Why in many countries an increase in economic growth has not translated into an overall improvement in economic/social welfare?

Explain why monopoly sellers usually offer discount prices to buyers who are willing to mail in a rebate coupon or endure some other type of inconvenience.

Why do economists generally prefer “market-based” policies to “command-and-control” (regulatory) policies to deal with “market failures”?

Q1: Demand in a market is represented by Q = 500 – 50P where P is measured in dollars per unit and Q is measured in units per week. Note: Demand in this question is identical to that in Q1 of Assignment #10.

a) Complete the following table. Find elasticity between $10 and $8, between $8 and $6, between $6 and $4, between $4 and $2, and between $2 and $0. Show elasticity to two decimal places. Do not round your answers too early or your final result will be less accurate.

b) Graph the relationship between the quantity demanded and total revenue using the grid on the next page.

c) Is total revenue positively related, negatively related or unrelated to the price of the product when demand is elastic?

d) Is demand perfectly elastic, elastic, unit elastic, inelastic or perfectly inelastic when total revenue is at its maximum?

Q2: The demand for a product is represented by Q = 210 – 3P. At what price is demand unit elastic? Show clearly how you arrived at your answer.

1. (5%) For each of the following data series, state what type of data you are dealing with and which type of graph (from the list below) would be best (the most effective way) to describe the data.

1. Column (bar) chart
2. Line chart
3. Pie chart
4. Box-plot
5. Histogram

Data series:

Need to answer what type of data and use which type of graph

1. The number of years since a person immigrated to Canada. These are individual level data collected as part of the 2006 census and are given for 11,000 people (i.e. there are 11,000 observations).

2. CPI in Canada, 1980 to 2015

3. Employment by major industry sectors across Canada in 2010.

• What is the future of the Third Sector?
• Is there a way to change society so it is no longer needed?
• How has your opinion of the Third Sector changed?

Question 3) Consider the discussion in chapter 13 of the Jones textbook; answer the questions below in regard to the slope of the Aggregate Demand curve. (You may use a diagram for parts (b) and (c) to better explain your answer)   

a. Why does the AD curve slope downward?

b. If the AD curve were more steeply sloped, how would the economy respond differently to aggregate demand shocks (shocks to ̅)?

c. If the AD curve were more steeply sloped, how would the economy respond differently to aggregate supply shocks (shocks to ̅)?

d. What kind of economic changes in the economy would lead the curve to be more steeply sloped?

(can you answer part (d) for me?)

GENERAL BUSINESS COURSE QUESTION:

Joe and Jill were talking about the role played by the Federal Reserve System in the United States. Joe seemed to be quite well informed about the functions and activities of our central bank. "You see, Jill, the Fed is the main guardian of our nation's economic stability," Joe declared. "In America, we don't want inflation and we don't want recession. To stretch the situation just a bit, we are frightened, absolutely terrified, by thoughts of hyperinflation and depression. So, the Fed maintains the right to alter the situation and protect us from these two monsters. And you ask, how they do that? The answer is the discount rate. That is the device that the Federal Reserve System uses to keep us safe."

Jill was enjoying listening to her friend explain it all. Joe continued, "Now the discount rate is the interest rate that the twelve Federal Reserve Banks around the country charge their member banks on a loan. So, when the discount rate goes up, all interest rates tend to go up. And, happy to say, when interest rates go up all over America, this tends to slow down any inflationary tendencies." Jill asked, "Does the Fed have other tools for stopping inflation?" "No," said Joe.

2) Joe probably can't answer this question, but you can. What happens in the Fed's open market operations?

Total Demand for Private Goods vs Public Goods.

Consider the following individual demand functions:

Q₁ = 10 – P               Q₂ = 8 – P                  Q₃ = 7 - P

Rival & Excludable

1. Complete the following table assuming the product is rival and excludable:

WTP= willing to pay

Nonrival & Nonexcludable

2. If the above product becomes a public good, calculate the total demand for the product and complete the following table:

Public disagreements between Fed Chair Jerome Powel and President Trump could potentially

a.damage Fed ability to manage market confidence

b.cause unexpected, random inflation increases

c.lead to unexpected economic growth

d.all of the above