Questions
Suppose that North Korea is a closed economy. A war breaks out abroad and, as a...

Suppose that North Korea is a closed economy.

A war breaks out abroad and, as a result, North Korean consumers become uncertain about the future and increase their saving rate.

1) Explain what effect this event would have on the North Korean economy. You do not need to draw the graph, but you do need to describe which curves move and in what direction. No points will be given for answers without an explanation.

2) How would the following variables change as a result of this event?

  • Saving
  • Investment
  • The trade balance
  • The interest rate

In: Economics

6. (14 pts) There is a decrease in income in a closed economy. Derive the impact...

6. (14 pts) There is a decrease in income in a closed economy. Derive the impact of the decrease in income on the credit market and money market assuming flexible prices. Determine the impact on the equilibrium expected real rate of interest and the price level. Also determine the impact on equilibrium savings, investment, and real balances. You must use graphs to receive hill credit

In: Economics

Match each sequence to a good candidate for a closed form. Note that for each of...

Match each sequence to a good candidate for a closed form. Note that for each of the given sequences, the initial value of the index n is given.

  1. A. 1, 3, 7, 15, 31, 63, ... (n>=0)
  2. B. 3, 8, 13, 18, 23, 28,... (n>=1)
  3. C. 3, 8, 15, 24, 35, ... (n>=1)
  4. D. 1, 1, 2, 3, 5, 8, 13, 21, ... (n>=1)
  5. E. Corresponding sequence not listed.
selectABCDE 1.

f(n)=5n−2

selectABCDE 2.

f(n)=((1+5√)2)n−((1−5√)2)n5–√

selectABCDE 3.

f(n)=2n+1−1

selectABCDE 4.

f(n)=5n+3

selectABCDE 5.

f(n)=2n−1

selectABCDE 6.

f(n)=(n+1)2−1

selectABCDE 7.

f(n)=n2−1

In: Advanced Math

A new refrigerator is being designed. Magnets will be used to hold the door closed, and...

A new refrigerator is being designed. Magnets will be used to hold the door closed, and the rubber seal thickness can be selected to adjust the separation between the magnets (and therefore the force). The total length of rubber seal required to go around the door is 6m, and the cost of rubber seal is given equation 2. The pull force when opening the door should be 12N. Determine which of the magnet combinations should be used, and the combined cost of the magnets and seals per refrigerator.

Table 2. Material costs of neodymium magnets

Magnet size

Cost per unit

10mm

$4.10

12.7mm

$8.15

25mm

$43.20

$Cost/m of rubber seal = 30 T-0.7                    Equation 2

where T = thickness of each seal in mm (half the separation between the magnets)

25mm

10mm

12.7mm

10-12.7mm

Separation mm

Force

N

Separation

mm

Force N

Separation

mm

Force

N

Separation

mm

Force

N

250

0.014715

45

0.034335

120

0.0036297

130

0.0015696

240

0.015696

42

0.038259

110

0.0066708

120

0.001962

230

0.0192276

40

0.053955

100

0.0093195

110

0.002943

220

0.0207972

38

0.060822

90

0.0135378

100

0.0041202

210

0.0241326

35

0.07848

80

0.018639

90

0.0060822

200

0.02943

32

0.099081

70

0.0319806

80

0.0090252

190

0.03924

30

0.161865

60

0.0526797

70

0.014715

180

0.048069

27

0.199143

50

0.099081

60

0.0249174

170

0.054936

25

0.259965

40

0.197181

50

0.0464994

160

0.065727

23

0.299205

30

0.468918

40

0.092214

150

0.0897615

20

0.44145

25

0.77499

30

0.206991

140

0.112815

17

0.638631

20

1.2753

20

0.555246

130

0.150093

15

1.03005

15

2.06991

15

1.3734

120

0.204048

45

0.034335

10

2.99205

110

0.283509

100

0.385533

90

0.565056

80

0.77499

70

1.13796

In: Mechanical Engineering

. Using the IS-MP model in a closed economy, explain the impact of tax cuts on...

. Using the IS-MP model in a closed economy, explain the impact of tax cuts on the interest rate (r) and output (y), indicating the multiplier effect and crowding-out effect on the graph

In: Economics

A dead body was found within a closed room of a house where the temperature was...

A dead body was found within a closed room of a house where the temperature was a constant 70° F. At the time of discovery the core temperature of the body was determined to be 80° F. One hour later a second measurement showed that the core temperature of the body was 75° F. Assume that the time of death corresponds to t = 0 and that the core temperature at that time was 98.6° F. Determine how many hours elapsed before the body was found. [Hint: Let  t1 > 0 denote the time that the body was discovered.] (Round your answer to one decimal place.)

In: Advanced Math

One of the big differences between the functioning of a closed versus an open economy is...

One of the big differences between the functioning of a closed versus an open economy is the way fiscal policy affects an economy that fixes its exchange rate. Explain with the aid of charts what those differences are.

In: Economics

Prove that the adiabatic process of an ideal gas in a simple compressible closed system is...

Prove that the adiabatic process of an ideal gas in a simple compressible closed system is the polytropic process of n=k ( where k is the specific heat rate) by using the thermodynamic first law.

Please answer quickly will rate positive thank u

In: Mechanical Engineering

Following a closed traverse, the sum of the interior angles was found to vary from the...

Following a closed traverse, the sum of the interior angles was found to vary from the calculated sum by 2 degrees, 30 minutes. The angles were balanced by adding 30 minutes to each of five internal angles. This would be an example of: A. an arbitrarily balanced field angle adjustment. B. mathematical polygon balancing. C. an equally balanced field angle adjustment. D. a poorly conducted traverse.

In: Civil Engineering

Consider a simple financial market for a closed economy with government, such as might be crudely...

Consider a simple financial market for a closed economy with government, such as might be crudely representative of the world as a whole. a) Construct a diagram to represent this market and note and explain your choice of the variables on the vertical and horizontal axes.

b) Draw the saving supply curve and the investment demand curve, indicating and explaining which variables shift them to the right and left and why.

c) Imagine that this market faces simultaneous pessimism shocks. There are declines in what level of future income is expected by households and in the net rate of return on new physical capital that is expected by investors. Illustrate and explain how these shocks change the diagram and how you would expect the yield on long maturity assets to change.

d) Then use your diagram to further explain how this result might be affected in the short run by a rise in government spending, and hence a decline in government saving or an increase in sovereign debt.

In: Economics