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?

Use the IS-LM-PC model to explain how the economy adjusts to an increase in taxes in the medium run. Assume that the economy starts at a medium run equilibrium No graph necessary. Be sure to specify which curve shifts in the medium run. State how output, inflation, and the real interest rate change relative to the initial point where the economy started. Make sure that you state how inflation evolves differently under anchored expectations and under backward-looking expectations.

Universal widget produces high-quality widgets. Its total cost function is given by ?? = 0.25? 2 . Widgets are demanded in Australia (where the demand curve is given by qA = 100 – 2PA) and in Lapland (where the demand is given by qL = 100 – 4PL). Total demand is equal to the combined demand from both locations. Suppose Universal widget can control the quantities supplied to each market.

(a) How many should it sell in each location to maximize its profit?

(b) What price will be charge in each location?

Which of the following statements about global economic growth is NOT true?

Group of answer choices

In 2010 it was noted that, globally, banks faced a "wall" of maturing debt.

The economic struggles of large economies impact the global economy more than those of small economies.

The credit crisis started in 2008 and increased in 2009.

From 1980 to 2012 China has had the largest economy and rate of expansion.

How is the seventh national development plan of Zambia going to be affected by the corona virus?
1000 words.

a) Write out the equation that describes the Quantity Theory of Money. Must indicate clearly what each variable in the equation means in order to earn full marks .
Based on the equation, predict what would happen to inflation in the long run:

b). if the growth rate of the velocity of money is zero and money supply grows at a faster rate than real GDP growth rate. You may use some hypothetical numbers to illustrate your answer (1.5 marks)
c). if the growth rate of the velocity of money is zero and money supply grows at a slower rate than real GDP growth rate. Use some hypothetical numbers to show (1.5 marks)
d). Based on these two scenarios (b and c) and the quantity theory of money as stated in this question, what would be a good monetary policy for the economy in the long run?

a) Write out the equation that describes the Quantity Theory of Money. Must indicate clearly what each variable in the equation means in order to earn full marks .
Based on the equation, predict what would happen to inflation in the long run:

b). if the growth rate of the velocity of money is zero and money supply grows at a faster rate than real GDP growth rate. You may use some hypothetical numbers to illustrate your answer (1.5 marks)
c). if the growth rate of the velocity of money is zero and money supply grows at a slower rate than real GDP growth rate. Use some hypothetical numbers to show (1.5 marks)
d). Based on these two scenarios (b and c) and the quantity theory of money as stated in this question, what would be a good monetary policy for the economy in the long run?

ROUND ALL CALCULATIONS TO TWO (2) DECIMAL PLACES a. (15 pts) Please draw the Keynesian Cross assuming the following information. Be sure to specify at what point consumption and disposable income are equal. Marginal Propensity to Consume = .88 Autonomous Consumption = $525 b. (5 pts) Assume that your disposable income is $760. How much are you consuming? Are you saving or dissaving? c. (10 pts) Assume that autonomous consumption increases to $890. Please illustrate this change on graph from part a. Again, you must specify at what point consumption and disposable income are equal. d. (5 pts) Based on the change in part c, illustrate what will happen to aggregate demand.

1) Suppose that a firm’s production function is q=10L^0.25 K^0.75. The cost of a unit of labor is $30 and the cost of a unit of capital is $90. a. The firm is currently producing 120 units of output. Derive the cost-minimizing quantities of labor and capital (i.e. in the long run). What is the total cost?

b. The firm now wants to increase output to 160 units. If capital is fixed at the level you found in part a) (i.e. in the short run), how much labor will the firm require? What is the firm’s new total cost?

3. What is the cost-minimizing level of capital and labor in the long run if the firm wants to produce 160 units of output? What is the total cost now?

Give more details on the following answer

Question:

Give a detailed explanation about what is happening with the oil prices.

mention coronavirus, OPEC, Saudi Arabia.

give references

Answer:

Oil prices is dropping.Major causes behind the fall is given below:

• Increase in Supply.
• Decrease in demand and
• fall of monopoly power in oil producers.

The price of oil sunk to levels not seen since 2002 as demand for crude collapses amid the coronavirus pandemic.Oil prices have fallen by more than half during the past month as companies cut back or close production.Oil prices failed to keep pace,with growing (coronavirus)lock down measures and that could drive global demand down 20%,potentially pushing the world to run out of storage capacity.

Organization of petroleum exporting countries (OPEC) controls almost 80%of the world's oil reserves.OPEC is the main influencer in fluctuations in oil prices.OPEC and its allies due to covid 19 outbreak,agreed to historic production cuts to stabilize prices,but they dropped to 20 years lows.Supply and demand influences oil prices to change.From global perspective,political instability in middle east causes oil prices to change.

Saudi Arabia is the second largest oil producer in the world.It will suffer financially from cheap oil.It can afford temporary falls in oil prices because they have substantial reserves.If low prices persist,Saudi Arabia may have to cut back on some of the social programms.

References:

BBC News(30 March 2020) Coronavirus:oil price collapses to lowest level for 18 years