How will carbon tax affect the forestry in Canada. Please elaborate your answer

Please answer this in detail.

Let’s compare a tariff (tax on imports) to an increase in money supply in the short term, assuming that both depreciate the currency. How do they differ in effects on welfare? Why do many economists believe there are restrictions on countries ability to use tariffs to expand domestic output that are not present in the original model?

Relate price changes in bond markets to price changes in stock markets. Explain why prices move or do not move together.

Assume that the economy is at full employment. Now suppose a decrease in investment spending. At the new equilibrium,   (3)

1. will there be an output gap? What type? ________________________________

2. what is the effect on the price level? ___________________________________

3. what is the effect on the level of Real GDP? _____________________________

Assume that the economy is at full employment. Now suppose there is an increase in consumption. At the new equilibrium,

1. will there be an output gap? What type? ________________________________

2. what is the effect on the price level? ___________________________________

3. what is the effect on the level of Real GDP?______________________________

GDP per capita is commonly used to compare well-being across countries, however it has its limitations. What is the potential impact of using GDP per capita as the only measure to compare well-being for people across different countries?

What is the importance of benchmark bonds yield for investors and fund managers?

How does the benchmark of bonds yield is set the debt instruments market?

Fully explain why selling a level of output below the market-clearing equilibrium output level leads to allocative inefficiency.  As part of your response make sure you provide a complete discussion or the source of allocative inefficiency. Also, fully explain why the marginal costs = the marginal benefit.

1. There are n identical users of a common-property resource. The output of user i is denoted yi . “Pollution” is a by-product of output. Let pi = yi be the amount of pollution generated by user i’s output yi . The profit that accrues to user i—not deducting for pollution damages—when i’s output is yi is given by 2yi − y 2 i . Pollutants reduce profit. When y1 + ... + yn is total output, the loss to each user is given by the damage function (y1 + ... + yn) 2 .

(d) Solve for the efficient profile of outputs y ∗∗ .

(e) Are all users better-off at y ∗∗ relative to y ∗ ? If so, why don’t they coordinate at y ∗∗?

(f) Show that there is a tax t such that if each user is made to pay $t per unit of output, the equilibrium profile of outputs coincides with y ∗∗ .

A remotely located air sampling station can be powered by solar cells or by running an electric line to the site and using conventional power. Solar cells will cost $7,500 to install and will have a useful life of 4 years with no salvage value. Annual costs for inspection, cleaning, etc. are expected to be $1,750. A new power line will cost $15,500 to install, with power costs expected to be $500 per year. Since the air sampling project will end in 4 years, the salvage value of the line is considered to be zero. At an interest rate of 11% per year, which alternative should be selected on the basis of a future worth analysis?

The future worth of solar cells is $... and that of electric line is $... .

Is the Federal Reserves recent monetary policies ineffective? Is keeping the interest rate at 0% percent actually stimulating the economy for long term growth of the GDP?

Microsoft Canada has asked you to critically evaluate their branding and positioning of the surface line of products. How can the company capitalize on the innovation of their products such that they differentiate themselves from their competitors? In your recommendation, you might consider strategies to differentiate each individual product within the surface line, identify target markets and best ways to reach them, and recommend creative solutions to propel the Surface line of products to become the laptop of choice within its respective competitive space.

1. Consider the following numerical example of the IS-LM model: 25 C = 100 + 0.3YD I = 150 + 0.2Y - 1000i T = 100 G = 200 i = .01 (M/P)s = 1200 (M/P)d = 2Y - 4000i a. Find the equation for aggregate demand (Y). b. Derive the IS relation. c. Derive the LM relation if the central bank sets an interest rate of 1%. d. Solve for the equilibrium values of output, interest rate, C and I. e. Expansionary monetary policy. Suppose that the central bank increases money supply to 1500. What is the impact of this expansionary monetary policy on the IS and LM curves? Find the new equilibrium values of output, interest rate, C and I. Expansionary fiscal policy. Suppose that the government increases its spending G to 300. What is the impact of this expansionary fiscal policy on the IS and LM curves? Find the new equilibrium values of output, interest rate, C and I.

Use the market of corporate bonds and government bonds to graphically explain why the credit spread increases when there is a financial crisis.