In an economy with marginal propensity to save (MPS) of .4, what effect will an increase of $100 in government spending have on equilibrium and what effect a tax cut of $100 will have on equilibrium.

Suppose the Federal Reserve sets the reserve requirement at 10 percent, banks hold no excess reserves, and no additional currency is held.

Instructions: In part a, round your answer to 2 decimal place. In parts b and c, enter your answers as whole numbers. Include any negative signs if necessary.

a. What is the money multiplier?

b. By how much will the total money supply change if the Federal Reserve changes the amount of reserves by -$50 million?

     $ million

c. Suppose the Federal Reserve wants to decrease the total money supply by $600 million. By how much should the Federal Reserve change reserves to achieve this goal?

     $ million

Why is it important to engage the payer early in the process of drug development and commercialization? Describe one payer engagement strategy that you think may have the greatest impact on value creation for personalized medicine.

What are three criteria used by payers in the US to determine if a drug can be covered under their plans?

we know that United States is at least using both monetary policy (by lowering the interest rate to be 0%) and fiscal policy (by having 2 trillion USD ready for spending on infrastructures). You have done the analysis for the fiscal policy. As for the monetary policy, it is similar in forcing an economic expansion but through the money market.

Given the current condition with the corona virus pandemic still ongoing, and the lockdown has not been lifted,

1. How successful do you think the monetary policy (only) would be? and why?
2. How successful do you think the fiscal policy (only) would be? and why?
3. How successful is the combination of both monetary policy and fiscal policy? and why?
4. Should the government consider quantitative easing? and why?

What is the role of segmentation and targeting in marketing?

In view of the Coronavirus epidemy, the Bank of Canada along with most advanced nations’ central banks has cut its policy interest rate by 1.5% to 0.25%.

1. Explain the Bank of Canada’s intention and motive behind this policy.
2. Employing the model of interest parity, discuss with the help of a diagram the expected impact of these interest cuts on the exchange rate (Canadian dollar).
3. Now explain how the expected change in the Canadian dollar is hoped to affect Canada’s net exports (NX) and Canada’s GDP.

The Virus has been blamed for causing much economic havoc in the world and in the United States. In reality, much of the damage has been cause be governments using their police power to prohibit beneficial economic activities from occurring. Assume the Virus scare is over. You are Chairperson of the Federal Reserve System. What monetary policies would you implement to get the US economy improving and growing, if any. You must explain correctly and in detail what they are and how they would work. This means going into detail about their transmission mechanisms. You may choose more than one. You have to convenience your skeptical professor that you know what you are talking about.

Use WDI data and your textbook (Grabowski et al) to answer the following question. Both India
and China progressed from slow to modest growth before 1980 to more rapid rates of growth after
1980.
(a) What similarities can be drawn between the two countries’ experiences?
(b) What are some of the fundamental differences in the two countries’ experiences

Suppose Liam’s utility function for ice cream (q1) and pumpkin pie (q2) is U = 8q10^.5 + q2 His income is $100. The price of a pumpkin pie is $1. Suppose the price of ice cream increased from $1 to $2. Find CV, EV, and ΔCS.

What is the Electoral College? How does it work and what is its role in the election of the President?

1. Using the central bank balance sheet, evaluate how each of the following shocks affects a country’s ability to defend a fixed exchange rate. In the following answers, we assume the central bank keeps domestic credit unchanged whenever possible.

a. The central bank sells government bonds.

b. Currency traders expect a depreciation in the home currency in the future. c.

C. An economic contraction leads to a change in home money demand.

D. The foreign interest rate falls

1. Starbucks sales about $1 million per store each year, or about $2,700 per store per day. McDonalds sell about $2 million, and Chick-Fil-A sells $4 million (open only 6 days). Assuming each has the same elasticity of demand of approximately 0.75, if each business offers a 5% discount…
   1. What will their new store sales be?