How does the book, "The Shifts and Shocks" have to do with the relevance for our understanding of our Economy today?

Explain why during the short run, an increase in the price of oil will cause an increase in the interest rate.

1) Fiscal policy entails changes in

A) the quantity of money.

B) the MPC.

C) government spending and taxes.

D) the multiplier.

2) If we compare the United States to France, we see that potential GDP per person in France is ________ than that in the United States because the French ________ is greater than that in the United States.

A) greater; tax wedge

B) less; structural deficit

C) less; tax wedge

D) less; MPC

3) A fiscal action that is triggered by the state of the economy is called

A) monetarist policy.

B) the tax wedge.

C) automatic fiscal policy.

D) the multiplier.

4) An example of a fiscal policy designed to decrease real GDP is

A) a cut in taxes.

B) an increase in taxes.

C) an increase in government expenditure.

D) None of the above answers is correct.

5) A decrease in government expenditures on goods and services is an example of ________.

A) a fiscal policy designed to increase real GDP

B) decreasing needs-tested spending programs

C) increasing induced taxes

D) a fiscal policy designed to decrease real GDP

6) An increase in taxes

I.    violates the Taylor rule.

II.   decreases real GDP.

III. forces the Fed to change its instruments.

A) I only

B) II only

C) I and III

D) I and II

7) An example of a fiscal policy designed to increase real GDP is

A) a cut in taxes.

B) an increase in taxes.

C) a decrease in government expenditure.

D) None of the above answers is correct.

8) An economy has real GDP of $300 billion and potential GDP of $240 billion. To move the economy to potential GDP, the government should ________ taxes and/or ________ government expenditure.

A) increase; increase

B) increase; decrease

C) decrease; increase

D) decrease; decrease

9) The crowding out effect refers to

A) the presence of the Ricardo-Barro effect.

B) how a cyclical budget deficit changes over the business cycle.

C) government investment crowding out private investment.

D) the wealth effect's impact on the aggregate demand curve.

10) The Fed's instruments include

A) open market operations.

B) the structural budget deficit.

C) the Ricardo-Barro effect.

D) the federal funds rate base.

11) The Laffer curve studies the relationship between

A) open market operations and the interest rate.

B) taxes and the real interest rate.

C) tax rates and tax revenues.

D) monetary policy and tax revenues.

12) An income tax hike ________ potential GDP by ________.

A) increases; not crowding out investment

B) decreases; limiting the use of discretionary monetary policy

C) increases; offsetting the Barro-Ricardo effect

D) decreases; decreasing the supply of labor

13) If net taxes are less than government outlays, the government sector has a budget ________ and government saving ________.

A) surplus; is positive

B) deficit; cannot be used for discretionary fiscal policy

C) deficit; is negative

D) None of the above answers is correct.

14) The Fed can change the federal funds rate

A) lowering taxes.

B) increasing spending.

C) purchasing government securities.

D) increasing aggregate demand.

15) A decrease in the reserves of commercial banks could be the result of

A) an increase in the velocity of circulation.

B) the sale of government securities by the Federal Reserve.

C) a decrease in the velocity of circulation.

D) an increase in the required reserve ratio.

16) If the Fed makes an open market ________ of government securities, the federal funds rate will ________ as the quantity of money ________.

A) purchase; rise; increases

B) sale; fall; increases

C) purchase; fall; decreases

D) sale; rise; decreases

17) If the Fed makes an open market ________ of government securities, the federal funds rate ________ and the immediate impact is to shift the aggregate ________ curve.

A) purchase; falls; demand

B) sale; falls; demand

C) sale; rises; supply

D) purchase; rises; supply

18) If the Fed makes an unexpected open market ________ of government securities, the aggregate ________ curve shifts rightward and ________.

A) sale; supply; the short-run Phillips curve shifts upward

B) purchase; demand; the short-run Phillips curve shifts downward

C) sale; demand; there is a movement along the short-run Phillips curve

D) purchase; demand; the long-run Phillips curve shifts rightward

19) When the Fed enacts monetary policy, in the short run it changes

A) the AD curve.

B) the SAS curve.

C) both the AD and SAS curves.

D) potential GDP.

20) If the economy is at potential GDP and the Fed makes an open market sale of government securities, in the long run the aggregate ________ curve shifts ________ and the price level ________.

A) demand; rightward; rises

B) supply; leftward; rises

C) demand; leftward; falls

D) supply; leftward; falls

21) If the economy is at potential GDP and the Fed makes an open market purchase of government securities, in the short run bank reserves ________, the nominal interest rate ________, and the aggregate demand curve ________.

A) stay constant; does not change; does not shift

B) increase; rises; shifts rightward

C) decrease; falls; shifts rightward

D) increase; falls; shifts rightward

22) If the Fed is concerned with lowering ________ it will make an open market ________ of government securities, which will shift aggregate demand curve ________.

A) inflation; sale; leftward

B) unemployment; sale; leftward

C) inflation; purchase; rightward

D) unemployment; purchase; leftward

23) If the Fed is concerned with lowering ________ it will make an open market ________ of government securities, which will ________ real GDP.

A) unemployment; sale; increase

B) inflation; purchase; decrease

C) inflation; sale; decrease

D) unemployment; sale; decrease

24) Which of the following is true?

I.    The quantity theory predicts that in the long run the inflation rate equals the money growth rate minus the growth rate of potential GDP.

II.   If the Fed decreases the federal funds rate, aggregate demand increases.

III. The Fed's monetary policy works by shifting the short-run aggregate supply curve.

A) I and II

B) II and III

C) I and III

D) I, II and III

25) ________ occurs when a foreign firm sells its exports at a lower price than its cost of production.

A) A quota

B) Dumping

C) A tariff

D) A nontariff barrier

please answer everything and correct thankyou

what are the differences between GDP deflator, inflation and price index?

I would like to know more about in detail

Tapera consumes potatoes and other goods (potatoes is an inferior good). Using the indifference curve analysis draw a graph that clearly show the forces (effects) that determines a consumer final consumption of beef when its price increases, while holding the price of all other goods constant (Hint: note that price of potatoes increase).

WHAT ARE THE BEST 7 STOCKS TO BUY ASAP LIKE RIGHT NOW? AND WHY

Explain why in the medium run an increase in the price of oil will cause an increase in the unemployment rate.

What kind of challenges did American housewives face? Why do you agree/disagree with her arguments?

Women Are Household Slaves, 1949

HELP WANTED: DOMESTIC: FEMALE. All cooking, cleaning, laundering, sewing, meal planning, shopping, weekday chauffeuring, social secretarial service, and complete care of three children. Salary at employer’s option. Time off if possible.

No one in her right senses would apply for such a job. No one in his right senses, even a desperate widower, would place such an advertisement. Yet it correctly describes the average wife and mother’s situation, in which most women remain for love, but many because they have no way out.

A nauseating amount of bilge is constantly being spilled all over the public press about the easy, pampered existence of the American woman. Actually, the run of the mill, not gainfully employed female who is blessed with a husband and from two to four children leads a kind of life that theoretically became passé with the Emancipation Proclamation. Its confinement makes her baby’s play pen seem like the great open spaces. Its hours — at least fourteen a day, seven days a week — make the well known sunup to sundown toil of sharecroppers appear, in comparison, like a union standard. Beside the repetitious, heterogeneous mass of chores endlessly bedeviling the housewife, an executive’s memorandum of unfinished business is a virgin sheet.

Housewifery is a complex of housekeeping, household management, housework and childcare. Some of its elements, such as budgeting, dietetics, and above all, the proper upbringing of children, involve the higher brain centers; indeed, home economics has quite as respectable an academic status as engineering, and its own laboratories, dissertations and hierarchy of degrees. Other of its facets, and those the most persistent and time-consuming, can be capably handled by an eight-year-old child. The role of the housewife is, therefore, analogous to that of the president of a corporation who would not only determine policies and make over-all plans but also spend the major part of his time and energy in such activities as sweeping the plant and oiling machines.

Industry, of course, is too thrifty of the capacities of its personnel to waste them in such fashion. Likewise, organized labor and government afford workers certain standardized legal or customary protections. But in terms of enlightened labor practice, the housewife stands out blackly as the Forgotten Worker.

She is covered by no minimum wage law; indeed, she gets no wages at all. Like the bondservant of another day, or the slave, she receives maintenance; but anything beyond that, whether in the form of a regular “allowance” or sporadic largesse, is ruggedly individualistic….

No state or county health and sanitation inspectors invade the privacy of the home, as they do that of the factory; hence kitchens and domestic dwellings may be ill-ventilated, unsanitary and hazardous without penalty. That many more accidents occur in homes than in industry is no coincidence. Furthermore, when a disability is incurred, such as a bone broken in a fall off a ladder or legs scalded by the overturning of a kettle of boiling water, no beneficent legislation provides for the housewife’s compensation.

Rest periods are irregular, about ten to fifteen minutes each, a few times during the long day; night work is frequent and unpredictably occasioned by a wide variety of factors such as the mending basket, the gang gathering for a party, a sick child, or even more pressing, a sick husband. The right to a vacation, thoroughly accepted in business and industry, is non-existent in the domestic sphere. When families go to beach bungalows or shacks in the woods Mom continues on almost the same old treadmill; there are still little garments to be buttoned and unbuttoned, three meals a day to prepare, beds to be made and dishes to be washed. Even on jolly whole-family motor trips with the blessings of life in tourist camps or hotels, she still has the job considered full time by paid nurses and governesses.

Though progressive employers make some sort of provision for advancement, the housewife’s opportunities for advancement are nil; the nature and scope of her job, the routines of keeping a family fed, clothed and housed remain always the same. If the male upon whom her scale of living depends prospers, about all to which she can look forward is a larger house — and more work. Once, under such circumstances, there would have been less, thanks to servants. Currently, however, the jewel of a general houseworker is virtually extinct and even the specialists who smooth life for the wealthy are rarities.

Industry has a kind of tenderness toward its women workers that is totally lacking towards women workers in the home. Let a plant employee be known to be pregnant, and management and foremen, who want to experience no guilt feelings toward unborn innocents, hasten to prevent her doing any kind of work that might be a strain upon her. In the home, however, now as for centuries, a “normal” amount of housework is considered “healthy” — not to mention, since no man wants to do it, unavoidable. There may be a few proscriptions against undue stretching and heavy lifting, but otherwise, pregnant or not, the housewife carries on, turning mattresses, lugging the vacuum cleaner up and down stairs, carrying winter overcoats to the attic in summer and down from it in the fall, scrubbing kitchen and bathroom floors, washing woodwork if that is indicated by the season, and on her feet most of the time performing other such little chores beside which sitting at an assembly line or punching a typewriter are positively restful.

Despite all this, a good many arguments about the joys of housewifery have been advanced, largely by those who have never had to work at it. One much stressed point is that satisfaction every good woman feels in creating a home for her dear ones. Well, probably every good woman does feel it, perhaps because she has had it so drummed into her that if she does not, she is not a good woman; but that satisfaction has very little to do with housewifery and housework. It is derived from intangibles, such as the desirable wife-husband and mother-child relationships she manages to effect, the permeating general home atmosphere of joviality or hospitality or serenity or culture to which she is the key, or the warmth and security she gives to the home by way of her personality, not her broom, stove or dishpan. For a woman to get a rewarding sense of total creation by way of the multiple, monotonous chores that are her daily lot would be as irrational as for an assembly line worker to rejoice that he had created an automobile because he tightens a bolt. It is difficult to see how clearing up after meals three times a day and making out marketing lists (three lemons, two packages of soap powder, a can of soup), getting at the fuzz in the radiators with the hard rubber appliance of the vacuum cleaner, emptying wastebaskets and washing bathroom floors day after day, week after week, year after year, add up to a sum total of anything except minutiae that laid end to end reach nowhere.

According to another line of reasoning, the housewife has the advantage of being “her own boss” and unlike the gainfully employed worker can arrange her own schedules. This is pure balderdash…. If there is anything more inexorable than children’s needs, from an infant’s yowls of hunger and Junior’s shrieks that he has just fallen down the stairs to the subtler need of an adolescent for a good listener during one of his or her frequent emotional crises, it is only the pressure of Dad’s demand for supper as soon as he gets home…. What is more, not her own preferences as to hours, but those set by her husband’s office or plant, by the schools, by pediatricians and dentists, and the children’s homework establish when the housewife rises, when she goes forth, and when she cannot get to bed.

Something else makes a mockery of self-determined routines; interruptions from the outside world. Unprotected by butler or doorman, the housewife is at the mercy of peddlers, plain or fancy Fuller brush; odd-job seekers; gas and electric company men who come to read meters; the Salvation Army in quest of newspapers; school children hawking seeds or tickets or chances; and repair men suggesting that the roof is in a hazardous condition or household machinery needs overhauling. Unblessed with a secretary, she answers telephone calls from insurance and real estate agents who “didn’t want to bother your husband at his office.” … All such invasions have a common denominator: the assumption that the housewife’s time, like that of all slave labor, has no value.

In addition to what housewifery has in common with slavery, there are factors making it even less enviable as a way of life. The jolly gatherings of darkies with their banjos in the Good Old Days Befoh de Wah may be as mythical as the joys of housewifery, but at any rate we can be sure that slaves were not deprived of social intercourse throughout their hours of toil; field hands worked in gangs, house servants in teams. The housewife, however, carries through each complex operation of cooking, cleaning, tidying and laundering solo; almost uniquely among workers since the Industrial Revolution, she does not benefit by division of labor. Lunch time, ordinarily a pleasant break in the working day, for her brings no pleasant sociability with the girls in the cafeteria, the hired men in the shade of the haystack, or even the rest of the household staff in the servants’ dining room. From the time her husband departs for work until he returns, except for an occasional chat across the back fence or a trek to market with some other woman as childbound, housebound, and limited in horizons as herself, she lacks adult company; and even to the most passionately maternal, unbroken hours of childish prattle are no substitute for the conversation of one’s peers, whether that be on a high philosophical plane or on the lower level of neighborhood gossip. The Woman’s Club, happy hunting ground of matrons in their forties, is perhaps a reaction against this enforced solitude during earlier married life.

Something else enjoyed by slaves, but not by housewives, was work in some measure appropriate to their qualifications. The more intelligent were selected as house servants; the huskier as field hands. Such crude vocational placement has been highly refined in industry, with its battery of intelligence and aptitude tests, personnel directors and employment counselors. Nothing of the kind is even attempted for unpaid domestic workers. When a man marries and has children, it is assumed that he will do the best work along lines in which he has been trained or is at least interested. When a woman marries and has children, it is assumed that she will take to housewifery. But whether she takes to it or not, she does it.

Such regimentation, for professional or potentially professional women, is costly both for the individual and society. For the individual, it brings about conflicts and frustrations. The practice of housewifery gives the lie to the theory of almost every objective of higher education. The educated individual should

Texas A&M decides to invite a high profile band to perform during graduation week at Kyle stadium since they anticipate a very high demand for entertainment during that time. After carefully considering Rolling Stones and Justin Bieber, the university decides that Rolling Stones are the better choice (no kidding!). The band agrees to perform at the modest price of $500,000 (paid after the concert). As a result of the agreement, the university sells $1,000,000 worth of tickets for the concert. Justin Bieber would have agreed to perform for $100,000, but would have generated only $400,000 in revenue. The university orders $20,000 worth of the band merchandise to give away in the weeks prior to the concert to advertise the event. They also spent $50,000 on an ice statue of the band positioned in front of the Evan's library that does not have any useful purpose besides looking cool. The day of the event, Rolling Stones cancels due to a rough night for the band partying in a local pub. The university is forced to reimburse people for their tickets and spends additional $200,000 to compensate out of town individuals for incidental expenses associated with attending the concert. The university sues the band for breach of contract.

You are hired to represent the university in the lawsuit. You insist that the appropriate damages for the university are expecation damages. What is the amount of the expectation damages to the university?

Given the reputation of the band, the court decides that opportunity cost damages are more appropriate in this case. What is the size of the opportunity cost damages? Assume that the $70,000 expense for the merchandise give away and the ice statue would not have been incurred if the university contracted with Bieber.

Suppose that the university is willing to settle for reliance damages. What is the amount of these damages?

The defense argues that the university's expense on the ice statue was unreasonable. They request the court to reward hypothetical expectation damages. If the court finds their argument convincing, what should be the amount of the hypothetical expectation damages awarded to the university?

Where do you see discrimination by sex, appearance or age in the market for labor? Do you think the excuse of corporate image is a viable reason for this discrimination?

discuss the role of Religion and Education in modern business transformation with appropriate examples

Do you think it is fair that there is a wage gap between men and women in the workforce? Do you feel the gap is narrowing?

Suppose roses are not Giffen Goods.

Choose all the TRUE options.

a.If the price of roses rises, consumers will end up on a lower indifference curve between roses and other things.

b. Consumers may buy more roses, even if their prices rise.

c. If the price of roses rises, the opportunity cost of other goods decreases.

d. If the price of of roses rise, the consumers preferences will shift away from roses and toward other things i.e. it will change their indifference curve map between roses and other goods.

What are the prices and quantities for starbucks coffee? Id it above, below, or at equilibrium?

What is GDP? Is the Starbucks coffee apart of U.S GDP or another country's GDP and is it counted as quarterly or yearly?