Questions
What is the primary tool of monetary policy? required reserve ratio discount rate Temporary Auction Funds...

  1. What is the primary tool of monetary policy?

    required reserve ratio

    discount rate

    Temporary Auction Funds

    Open Market Operations

5 points   

QUESTION 2

  1. What is the policy goal for unemployment in the U.S.?

    zero

    zero cyclical unemployment

    unemployment equal to inflation rate

    low unemployment in urban areas

5 points   

QUESTION 3

  1. What is the policy goal for inflation in the U.S.?

    zero

    zero inflation on food items

    low unemployment that is consistent with full employment level of unemployment

    low inflation in college tuition and other education costs

5 points   

QUESTION 4

  1. Which one of the following types of economic shock could send an economy into a recession?

    unexpected tax decrease

    interest rate cut

    financial crisis

    decrease in oil prices

5 points   

QUESTION 5

  1. Who controls monetary policy in the U.S.?

    The Fed

    Congress

    President

    Supreme Court

5 points   

QUESTION 6

  1. Which one of the following is an example of an expansionary monetary policy tool?

    Buy bonds

    Decrease taxes

    Increase discount rate

    Increase government spending

5 points   

QUESTION 7

  1. Which one of the following is an example of a contractionary monetary policy tool?

    Buy bonds

    Increase taxes

    Increase required reserve ratio

    Decrease government spending

In: Economics

If there was a way to assign pollution to the firm/ individual who’s responsible for it...

If there was a way to assign pollution to the firm/ individual who’s responsible for it and make them financially responsible, it would?

In: Economics

How will reducing the government budget deficit make future generations better off?  How could reducing the...

How will reducing the government budget deficit make future generations better off?  How could reducing the government budget deficit harm future generations?

In: Economics

Describe how the 5Cs, STP, and the 4Ps fit together to develop a marketing plan.

Describe how the 5Cs, STP, and the 4Ps fit together to develop a marketing plan.

In: Economics

1. A large share of the world supply of diamonds comes from Russia and South Africa....


1. A large share of the world supply of diamonds comes from Russia and South Africa. Suppose that the mar- ginal cost of mining diamonds is constant at $1,000 per diamond and the demand for diamonds is described by the following schedule:
Price Quantity
$8,000 5,000 diamonds 7,000 6,000
6,000 7,000
5,000 8,000
4,000 9,000 3,000 10,000 2,000 11,000 1,000 12,000
a. If there were many suppliers of diamonds, what would be the price and quantity?
b. If there were only one supplier of diamonds, what would be the price and quantity?
c. If Russia and South Africa formed a cartel, what would be the price and quantity? If the countries split the market evenly, what would be South Africa’s production and profit? What would hap- pen to South Africa’s profit if it increased its pro- duction by 1,000 while Russia stuck to the cartel agreement?
d. Use your answers to part (c) to explain why cartel agreements are often not successful.

In: Economics

Why was Hitler tried for Treason?

Why was Hitler tried for Treason?

In: Economics

Why don't monopolies innovate as much as competitive firms?

Why don't monopolies innovate as much as competitive firms?

In: Economics

1. Using an example, explain how exchange rates influence business activities? 2. Explain the concept of...

1. Using an example, explain how exchange rates influence business activities?

2. Explain the concept of devaluation, and explain the effect devaluation has on the price of a country's imports.

In: Economics

Joe owns a tree cutting company. His firm uses tree cutters (L) and equipment (K) in...

Joe owns a tree cutting company. His firm uses tree cutters (L) and equipment (K) in
cutting trees. Suppose that the cost of hiring a tree cutter (w) is $10 an hour and the cost of using
equipment (r) is $30 an hour. We will consider how much K and L Joe should use to cut 75 (i.e., Q
= 75) trees. (Make sure that you specify intercepts, optimal amounts of K and L and isoquants
clearly on graphs.)

1.)
Suppose that Joe’s production function is Q = 15K + (2.5)L. Marginal product of capital
MPK = 15, and marginal product of labor MPL = 2.5. What are the values of the cost-minimization
bundle of K and L? Draw his isoquant and isocost curves and identify the firm’s cost minimizing
combination of K and L to represent the cost minimization solution on the graph.

2.)
Suppose that Joe’s production function is now Q = KL. Joe’s marginal product of capital
and labor are MPK = L and MPL= K, respectively. What are the values of the cost-minimization
bundle of K and L? Draw his isoquant and isocost curves and identify the firm’s cost minimizing
combination of K and L to represent the cost minimization solution on the graph.

3.)
Suppose that the wage rate increases to $15 per hour. For each of the production functions
identified in parts (a) and (b), identify what will happen generally to the optimal amounts of K and
L. (Just identify whether K will increase, decrease or stay the same and whether L will increase,
decrease or stay the same. You do not have to solve for the exact changes.) Justify your answers
using graphs.

In: Economics

Can you give an example in the U.S. history about deregulation of banks? And please describe...

Can you give an example in the U.S. history about deregulation of banks? And please describe the likely (positive or/and negative) effect of your example on banking industry.

In: Economics

Given C= 102 + 0.75Yd,                    I=150 – 100i, Ms =300, LT=0.25Y, and LA = 124-200i...

Given C= 102 + 0.75Yd,                   
I=150 – 100i, Ms =300, LT=0.25Y, and LA = 124-200i

2.1 Find commodity market equilibrium i.e. IS curve

2.2. Find money market equilibrium i.e. LM curve

2.3. Find equilibrium income

2.4. Find equilibrium interest rate

Suppose money supply increases by $17,

2.5. Find the amount of new equilibrium income

2.6. Find the amount of new interest rate

Suppose autonomous investment drops down by $97

2.7. What is the amount of new equilibrium income?

2.8. Find the new interest rate

This information was given at the top if you need it.

Given the following information

C         = Co + b(Y-T)

I           =Io + Iy - IrR

G         =Go

T          =To

Md       = Lo – LrR + LyY

Ms           = Mo

Where C0 = Autonomous consumption

b= MPC,

Iy= income sensitivity of investment (Income elasticity of investment)

Ir= interest elasticity of investmen

Lr= interest elasticity of money demand

Ly= income elasticity of money demad

I= investment, G= Government spending, T = Taxes

R= interest rate

Y= GDP

In: Economics

Moran vs. Faberge (1975) At a slumber party held at the home of Louis Grigsby, Randi...

Moran vs. Faberge (1975)

At a slumber party held at the home of Louis Grigsby, Randi Williams poured Faberge “Tigress” cologne into a burning candle in order to make it a “scented” candle. The perfume, composed of 82% alcohol, was highly flammable and caught fire. The resulting flames caused severe burns to the neck and torso of Randi’s friend Nancy Moran. The Moran family sued the Williams family and the Grigsby family, and both were found not guilty. The Williams family also sued the Faberge company, on the basis of the fact that there was no warning on the product indicating that it was highly flammable, even though the manufacturer knew that it was highly flammable. The trial court found Faberge liable for $30000 in damages. Faberge appealed.

The appeals court noted that manufacturers (as of 1975) had a duty to “produce a safe product, with appropriate warnings and instruction when necessary”. Thinking in terms of the Hand rule, it noted that printing a warning on a label is indeed a very cheap precaution, but that there also must be some identifiable benefit to printing the warning for failure to print a warning to become failure to meet a duty.

The appeals court then ruled against Faberge.

QUESTION:

1. Did Faberge fail in its standard of care according to a Hand rule? (That is, if there had been a warning of flammability on the product, would the benefit to society in the form of fewer losses due to accidents outweigh the cost of printing the warning?) Or is the ruling wrong, because it is too costly to ask companies to foresee and try to safeguard or warn against every bizarre type of product use?

In: Economics

Moving from autarky to free trade generates gains for a country. What are the sources of...

Moving from autarky to free trade generates gains for a country. What are the sources of these gains and explain how each results in a gain for the country.

In: Economics

I want 250 words essays as to how COVID - 19 will lead to various losses...

I want 250 words essays as to how COVID - 19 will lead to various losses in Bank owing to Market Risk, Credit Risk, Operational Risk, Liquidity Risk, ALM risk, Capital Adequacy risk, Resilience risk and so on. (In Indian Context).

(NOTE: I WANT A good and well explained answer. no plagiarism)

GOOD ANSWER WILL BE GIVEN THUMBS UP :)

NOTE: I AM POSTING THIS QUESTION MULTIPLE TIMES. IF ALREADY ANSWERED BY YOU, THEN DON’T ANSWER IT AGAIN. I WANT DIFFERENT POINTS OF VIEW.  

IF YOU ANSWER IT AGAIN, THEN THUMBS DOWN WILL BE GIVEN.  

In: Economics

This is an essay question: What is the reason the Central Bank was Created and describe...

This is an essay question:

What is the reason the Central Bank was Created and describe the US Financial System

In: Economics