Present a labor market analysis (a diagram and accompanying “story”) that describes how technological improvement will tend to affect the nominal wage level, real wage level, and employment level, assuming the technological improvement increases labor productivity.

a. Suppose that business pessimism leads to a reduction in investment demand. What are the short-run (immediate) effects on output, the unemployment rate, the real interest rate, consumption and investment?

b. If the nominal interest rate is reduced to the zero lower bound by the reduction in investment demand, what happens over time to inflation, output, the unemployment rate, and the real interest rate?

c. In this circumstance, discuss the ability of monetary and fiscal policies to restore full employment, that is, to return output and the unemployment rate to their natural rates.

Suppose that individuals become more optimistic about their future incomes, and increase consumption at their current levels of disposable income. Use the Romer model to explain the short-run (immediate) and long-run effects of this law on inflation, output, the real interest rate, consumption, and investment.

1. The table below shows price and quantity data for a hypothetical economy.

Assume that a typical consumer’s food basket contains only coffee and tea. Moreover, assume that consumers are completely indifferent between coffee and tea. If the official “food inflation rate” for 2018 is calculated using a Paasche index, the substitution bias is demonstrated by the fact that the official (i.e. calculated) food inflation rate is

1. 40% while the actual food inflation rate is more likely 25%.
2. 25% while the actual food inflation rate is more likely 40%.
3. ‐40% while the actual food inflation rate is more likely ‐25%.
4. ‐25% while the actual food inflation rate is more likely ‐40%.

why is it more likely -25%?

This question definitely brings back information we studied at the start of class. Change is stressful for many people, especially at work. Communication plays a big factor here. What are some ways we can better help employees understand change and why change is needed? How can kindness and understanding play a big role here?

• Full participation points for this topic includes a thorough (150-250 words) response

What is the relationship between information and decisions... bad or good? Think of fun dates versus bad dates, divorces, stock purchases, etc. Acquisition of information is a real cost! Economists call such costs "transaction costs."

1. From the Book: Triangle: the fire that changed america

Describe how the trial unfolded. What was the defense strategy for the factory owners? What was the trial outcome?

Explain how the expected rate of return and the risk of an individual asset are measured.

Draw a neatly labelled LRAC curve with at least 3 SRAC curves contained within it and explain how LRAC is used as an output planning mechanism for how much a firm should produce.

1. For the table shown, answer the following questions:

1. What is the marginal propensity to consume for households in this economy?
2. Based on the assumptions of our aggregate expenditure model, fill in the columns for planned investment, government spending, and net exports. What is this type of expenditure called?
3. For each level of actual aggregate expenditure, calculate unplanned inventory investment.
4. What is the equilibrium level of aggregate expenditure in this economy? How do you know?
5. For each level of actual aggregate expenditure, label the future output tendency as “increase,” “decrease,” or “same” based on what you expect to happen to future output. What relationship does this categorization have to your answer in part d?

1. For the table shown, answer the following questions:

1. For each level of actual aggregate expenditure, calculate unplanned inventory investment.
2. What is the equilibrium level of aggregate expenditure in this economy? How do you know?
3. Suppose that planned investment increases by $50 billion. What is the new equilibrium level of aggregate expenditure in this economy?
4. What is the marginal propensity to consume in this economy?

What is the expenditure multiplier in this economy

a) Change the right-hand-side value of one of the constraints. Be sure that, the updated
tableau is infeasible, and you are applying Dual Simplex Method. (Find a change that will
make the new tableau infeasible.)
b) Change the objective function coefficient of one of the decision variables. Be sure that,
the updated tableau is non-optimal, and you are applying Simplex Method. (Find a
change that will make the new tableau non-optimal.)
c) Find the validity range for one of the constraint’s right-hand-side value.
d) Find the optimality range for one of the decision variable’s objective function coefficient.
e) Add a new ≥ constraint into the model. Be sure that, the new constraint is not satisfied by
the current optimal solution and you are applying Dual Simplex Method. (Add a ≥
constraint that will make the new tableau infeasible.)
f) Add a new decision variable into the model. Be sure that, the new tableau is non-optimal,
and you are applying Simplex Method. (Add a new decision variable that will make the
new tableau non-optimal.)

Based on Metabical Forecasting Demand Harvard Case:

1) An Introduction describing the market the firm is competing in.
2) Identifying the Challenge(s) facing the firm
3) Strategic Alternative(s) available to the firm
4) Decision: Recommended Action(s)
5) Lessons learned from the case

Suppose New York wants to build a new facility to replace Madison Square Garden. Assume that the cost of building a new arena in midtown Manhattan is $2.5 billion and that all the costs occur right away. Also assume that New York will receive annual benefits of $110 million for the next 25 years, after which the new arena becomes worthless. Does it make financial sense to build the new facility if interest rates are 6 percent? At what interest rate will we be indifferent between accepting and rejecting this project? Make sure to show your work.