What are the pros and cons of the “zero interest rate policy” (i.e., very low interest rates) of the Fed, from the perspective of the car industry?

ine Oak Furniture manufactures high-quality wooden desks and uses a standard cost system. A standard cost card for one model of desk, the “heritage”, developed for 2019, is shown below:

The company expected to produce and sell 300 units of the Heritage in March 2019.

Actual results for March 2019 are as follows:

• 310 units of the Heritage were produced.
• A total of 20,600 BF of wood was purchased and used at a cost of $9,942.
• Actual direct labour costs were $6,963 for 398 direct labour hours worked.
• Actual variable overhead incurred was $1,712 and actual fixed overhead incurred was $2,175.

Required:

Calculate the following variances and provide only numeric values without any formatting to the boxes given below. Be sure to indicate whether the variances are favourable or unfavourable as instructed. Round to the 4th decimal places for interim numbers, and round to the 2nd decimal places for final results.

Happyhols sells packaged holidays and has observed the following pattern of sales over the last 8 years in terms of the relationship with average income in the market:

                              2010    2011    2012    2013    2014    2015    2016    2017

Income ($000)        28        27      29       31       30        33        34         34

Sales (units)          380      430      410      420      450      440      480      500

1. Is it appropriate to use a lagged relationship in the above situation? Explain your reasoning.
2. Estimate an appropriate relationship.    
3. Estimate sales in 2018 stating any relevant assumptions.         
4. Estimate the income elasticity of demand for the period as a whole.
5. How much of the variation in sales is explained by the relationship with income?

1.What are the two main methods used to integrate external benefits into the provision of goods and services?

Select one: A. By providing normal goods or taxing producers. B. By taxing producers and consumers. C. By providing quasi-public goods or subsidizing producers. D. By providing quasi-public goods or taxing producers.

2 .Why does the market fail to produce public goods?

Select one:

A. Because such products usually entail large external costs.

B. Because it is impossible for the producer to exclude non-buyers from enjoying the benefit.

C. Because their production normally leads to increased income inequality.

D. Because normally there is no demand for such goods.

3.If the price of a product is less than its marginal social costs, then:

Select one:

A. External costs must be zero.

B. Society would prefer less of this product being produced.

C. Short-run average costs must be at minimum.

D. Society would prefer more of this product being produced.

4.The sum of the economic surpluses accruing to buyers and sellers is

Select one:

A. conspicuous consumption.

B. deadweight loss.

C. consumer surplus.

D. total economic surplus.

E. producer surplus.

True/False. Explain.

a. In the aggregate expenditure model, the reason an economic can enter a recession is that spending falls.

b. The classical assumption that labor markets clear makes it difficult for that model to explain recessions.

As a civil libertarian attorney, you have been asked to write a position paper on suspension of Habeas Corpus.

1. Is there a time when the government should suspend Habeas Corpus, and allow more police intrusion into personal privacy.
2. What do you include in your document as examples of emergencies that do allow for a temporary suspension of individual rights?
3. What do you include as examples of emergencies that – while requiring attention – do not rise to the level of limiting civil liberties? FULLY DEFEND YOUR ANSWER by discussing the RIGHTS affected.

Is it unethical to legally make employers pay employees a minimum wage? 1-2 Paragraph answer.

What co-operation strategies should be adopted at the international level?

A market is served by three firms. The market demand curve is p = 200-y. Each firm incurs a constant cost per unit of $40.

What is the market price at cournot equilbrium and what is firm 3's cournot reaction function?

Explain some of the costs of hyperinflation, If they are so costly to an economy why do they occur?

Using the AD AS model, explain what will happen to the price level and real GDP if either the SRAS or AD curve shifts. You are told that 2 events take place and you must explain which curve shifts and in what direction.

An economy has full-employment output of 1500. Suppose desired consumption and desired investment are
?? = 125 + 0.75(? − ?) − 400?
?? = 200 − 100?
G is the level of government purchases, and T=100

Money demand is
?? ?
= 0.8? − 2000(? + ??)
where the expected rate of inflation, ??, is 0.05. The nominal supply of money M = 2000.

2. Asset market equilibrium and the LM curve.

i) Derive the LM curve when the price level is equal to the solution in part (h) [Hint: Use the price level from the part (2-h) to get the real money supply]

Solution in part H is P = $2

1. Firm I has variable cost VCi = yi^2/10 and fixed cost FCi = 2000.

(1) Find total cost Ci(yi), average cost ACi, marginal cost Mci and the firm supply function Si(p)

(2) There are n=50 firms identical to firm I, facing a market demand of D(p) = 1000-250p. Find the market supply function S(p), the market equilibrium price p*, the market equilibrium quantity Y*.

(3) Given price p* you found in part b, what is the profit maximising yi* that firm i produces? How much profit does firm i make?