explain and illustrate laffer curve

Which of the following is not a variable of interest in macroeconomics? O the level of planned investment the overall level of employment the overall level of prices the price of coffee

Consider the following model of house prices: lhprice=β0+β1bdrms+β2llotsize+β3lsqrft+u The variables are defined as: lhprice = the natural log of the house price bedrms = the number of bedrooms llotsize = the natural log of the land or lot size lsqrft = the natural log of the floor space of the house in square feet. You may assume the Gauss Markov Assumptions hold.  Which of the following will make our inference on the partial effect of the number of bedrooms on the house price less precise?    a) A smaller variance of any unobserved factors captured in the error term, u. b) A larger sample size. c) More variation in the number of bedrooms across the observations in the sample. d) None of the possible answers describe something that would make our inference less precise.  e) A higher correlation between the number of bedrooms and the floor space of the house.

The reason for TVC curve to be S shaped is the law of ___________

Short Answer 1. Two students are walking by a department store window that has on display a $400 dress. The English major declares, "I want that dress but can't afford it." The economics major replies, "No, you don't." Explain the logic of this reply.

Discuss the uses of matrices in economics (give brief examples). Define the identity matrix and an idempotent matrix. Explain the concept of a non - singular matrix

Suppose that the least amount of goods and services that Roberto will consume in a year is $40,000.Roberto tends to save $0.30 of every dollar of disposable income that he makes. Use the given line to graph Roberto's consumption function for disposable income levels between $0 and $200,000. Move each endpoint to the appropriate spot on the graph.

Cindy Jo's Hair Salon is concerned about its rising costs of supplies, energy, and labor, so it is considering investing in better equipment, which hopefully will reduce the time required to perform most hairstyles as well as result in better perceived quality by its customers. It predicts that the added investment will increase output levels as well as reduce energy costs, since some of the new equipment (hair dryers) use less electricity. Labor Energy Material Total Hide Feedback investment Using the given information, determine the current and expected single-factor and total productivity measures. Do not round intermediate calculations. Round your answers to three decimal places. Productivity Current (this year) haircuts/dollar Ⓡ Incorrect haircuts/dollar Ⓡ haircuts/dollar .28 € haircuts/dollar Expected (next year) Ⓡ haircuts/dollar haircuts/dollar Ⓡ Inputs and Current (this Expected (next Outputs year) year) Hairstyles per 280 320 Labor costs per $970 $1,020 M Energy costs per…

The following equations describe an economy: C= 10 + 0.5 Y (Consumption function) I = 190-20i (Investment function) Derive the equations for IS curve and represent it graphically for i=2 and i=5

Name and discuss the factors that shift the IS Curve. Give two examples, with the help of a diagram, of IS curve shifting, one to the left and one to the right.