1) Suppose that Labor Supply is linear with exactly 0M people willing to work at a wage of $0 and 5M more people willing to work for each $1 increase in the wage. Labor Demand was such that the equilibrium wage rate was $20. Suppose that a negative shock hits labor demand so that the new ​[inverse] Labor Demand Curve has a vertical intercept at 110M and slope of -0.5. If downward wage rigidity prevents the wage from falling below $20, then how many people will be unemployed?

2) Consider the scenario in Question 1. Suppose that the shock to labor demand affected only the labor demand curve's intercept and not its slope. What must have been the pre-shock intercept for labor demand in order for $20 to be the equilibrium wage?

11. Sources of monopoly power

A monopoly, unlike a perfectly competitive firm, has some market power. Thus, it can raise its price, within limits, without quantity demanded falling to zero. The main way monopolies retain their market power is through barriers to entry, which prevent other companies from entering monopolized markets and competing for customers.

Consider the market for tanzanite. The mines for this blue-purple gemstone, found only in Tanzania, are owned by the local government. Given that no one is allowed into the mines without government permission, the market structure for tanzanite highly resembles that of a monopoly.

Which of the following best explains the barriers to entry that exist in this scenario?

a) Legal barriers

b) Increasing returns to scale

c) Control over an important input

Sand from a stationary hopper falls on a moving conveyor belt at the rate of 4.60 kg/s as in fig. P9.72. The conveyor belt is supported be frictionless rollers and moves at a constant speed of v = 0.820 m/s under the action of a consant horizontal external force Fext supplied by the motor that drives the belt.

(a) Find the sand's rate of change of momentum in the hortizontal direction. N

(B) Find the force of friction exerted by the belt on the sand. N

(c) find the external force Fext. N

(d) Find the work done by Fext in 1 second. J

(e) Find the kinetic energy acquired by the falling sand each second due to the change in its hortizontal motion. J

(f) Why are the answers to parts (d) and (e) different?

What is (are) Driving U.S. Health Care Spending?

A. Suppliers have increasing leverage to negotiate higher wages and fees

B. Lower Copayment/coinsurance decreases the cost to the consumer and may incentivize/ raise usage (Moral Hazard)

C. A mix of price (P) and use (Q)

D. All of the above.

E. None of the above

Assume firms become more pessimistic about the future and respond by decreasing investment spending. The Aggregate Demand/Aggregate Supply model suggests that if the Federal Reserve wishes to offset the short run consequences of the decrease in investment it should

Group of answer choices

Decrease the money supply in order to increase interest rates.

Increase the money supply in order to increase interest rates.

Decrease the money supply in order to decrease interest rates.

Increase the money supply in order to decrease interest rates.

1.As the interest sensitivity of investment spending increases,

Select one:

A. monetary policy has a larger effect on output.

B. the multiplier increases.

C. fiscal policy has a larger effect on output.

D. monetary policy has smaller effect on output.

2.Which of the following is an advantage of currency board system?

Select one:

A. Max seigniorage.

B. Exchange rate stability .

C. Monetary autonomy.

D. Full capacity of LLR.

3.Expansionary monetary policies, all else remaining the same, will

Select one:

A. shift the aggregate demand curve to the left.

B. move the economy up a fixed aggregate demand curve.

C. shift the aggregate demand curve to the right.

D. move the economy down a fixed aggregate demand curve.

4.Which of the following is listed on the liability side of the Federal Reserve balance sheet?

Select one:

A. deposits of depoitory institutions

B. gold

C. loans to depository institutions

D. U.S. government securities

5.Risk-based deposit insurance premiums

Select one:

A. reduce moral hazard incentives.

B. encourage banks to hold more excess reserves

C. reduce the adverse selection problem for regulators.

D. has no effect on banks' behavior.

Watch the following youtube video posted on the course syllabus entitled “How Tax and Spending Policies Can Reduce Poverty and Inequality” available at the following link https://www.youtube.com/watch?v=78t8GgjTcIA&feature=youtu.be. Then answer the following questions.

1. What are the two economic issues the government fiscal policy addresses in this video? (2 points)

2. Think of yourself as an economist who is given the task of addressing the issue(s) at hand.

a. What alternatives can you use to address the issue? Explain briefly. (4 points)

b. What are the pros and cons of each of them? (4 points)

please i need examples between country about inequality

What is the Japanese general trend of public spending? Has Japanese fiscal policy been expansionary or contractionary? Furthermore, has the Japanese government recently experienced a budget surplus or deficit? Is the government highly indebted? In the current macroeconomic situation, recommend ONE OTHER (other than fiscal and monetary policy settings) policy action that the Japanese government should take. Be specific about your recommended policy action. What do you think about the effectiveness of your policy suggestion? Why?

17. After spending ten years as an assistant manager for a large restaurant chain, Ray Clark has decided

    to become his own boss. The owner of a local submarine sandwich store wants to sell the store to Ray for $65,000 to be paid in installments of $13,000 in each of the next five years. According to the current owner, the store brings in revenue of about $110,000 per year and incurs operating costs of about 63% of sales. Thus, once the store is paid for, Ray should make about $35,000–$40,000 per year before taxes. Until the store is paid for, he will make substantially less—but he will be his own boss. Realizing that some uncertainty is involved in this decision, Ray wants to simulate what level of net income he can expect to earn during the next five years as he operates and pays for the store. In particular, he wants to see what could happen if sales are allowed to vary uniformly between $90,000 and $120,000, and if operating costs are allowed to vary uniformly between 60% and 65% of sales. Assume that Ray’s payments for the store are not deductible for tax purposes and that he is in the 28% tax bracket.

18. Create a spreadsheet model to simulate the annual net income Ray would receive during each of the next five years if he decides to buy the store.

19. Given the money he has in savings, Ray thinks he can get by for the next five years if he can make at least $12,000 from the store each year. Replicate the model 500 times and track: 1) the minimum amount of money Ray makes over the five-year period represented by each replication, and 2) the total amount Ray makes during the five-year period represented by each replication.

20. What is the probability that Ray will make at least $12,000 in each of the next five years?

21. What is the probability that Ray will make at least $60,000 total over the next five years?

***using @RISK***