What is fiscal policy and what government entities make it?

Q: Draw a well-labeled graph that illustrates the steady state of the Solow model with population…

A: Initially we have:  s : saving rate  y : output per worker curve  sk : investment per worker curve…

Q: draw a graph explain why, in the light of slow growth in South Africa, cement producers were forced…

A: In economics any economy is said to go through a slow growth period if and when the growth is…

Q: Suppose the world price for a good is 30 and the domestic demand-and-supply curves are given by the…

A: Consumer surplus is the difference between maximum price consumers are willing to pay and market…

Q: If we have an aggregate production function of the form Y = AK, at what capital-labor ratio can a…

A: An aggregate production function represents the relationship between the total output of an economy…

Q: Refer to the graph shown. Assume the market is initially in equilibrium at point j in the graph but…

A: The initial supply curve is S0.  Hence, the equilibrium before the imposition of tax takes place at…

Q: Consider the following portfolio choice problem. The investor has initial wealth w and utility u(x)…

A: In economics, a portfolio problem is a problem in time finance, where an investor has to choose the…

Q: In the hypothesis testing procedure, a is O the confidence level. O the critical value. O 1-level of…

A: In hypothesis testing, there are two types of errors: type 1 and type 2 error. Type 1 error is the…

Q: (a) For the following extensive-form game: i. Identify the pure and mixed strategy Nash Equilibria.…

A: Set of subgame Nash equilibrium is not different from the simultaneous Nash equilibrium as in the…

Q: how a consumer’s equilibrium changes if the price of a product changes according to marginal utility…

A: Marginal utility theory explains how customers make decisions about the consumption of products and…

Q: The graph shows the average total cost (ATC) curve, the marginal cost (MC) curve, the average…

A: A perfectly competitive market is a theoretical economic model that describes a market in which…

Q: 50. Add a curve to the graph below that shows how an Exclusive Union will impact a Perfectly…

A: ***Since you have posted multiple questions, according to our guidelines, only the first question is…

Q: Use lagrange to solve this

A: Under a production function where the Marginal Rate of technical substitution is a constant number ,…

Q: Consider the following portfolio choice problem. The investor has initial wealth w and utility u(x)…

A: Risk aversion is a term used to describe an individual's preference for avoiding risk or uncertainty…

Q: Using the “dynamic aggregate demand” and “dynamic aggregate supply” (DAD/DAS) model: (b) draw a…

A: To assess the dynamic changes in output and inflation after various macroeconomic events, a dynamic…

Q: 2. ii) Labor demand is determined by the agent using their resource of to fulfill their want of…

A: The total amount of workers (labor) that employers (producers) are willing and able to hire from…

Q: what price would each of them charge in the Nash equilibrium?

A: Q = 100 - 5 P  P = p1 + p2 Q = 100 - 5 (p1 + p2) Q = 100 - 5p1 - 5p2  Now the profit function of…

Q: The graph shows the outlays and receipts curves for an economy. Draw a vertical line at a value of…

A: The association between spending by governments and tax revenue in an economy is shown by the…

Q: The federal deposit insurance corporation (FDIC) insures individual bank accounts up to $250,000 per…

A: The correct statement regarding FDIC insurance is: d. works in coordination with reserve…

Q: Suppose you are given the following scenario: The Federal Reserve has reported the federal funds…

A: The ideas of British economist John Maynard Keynes, on which Keynesian economic policies are…

Q: Please no written by hand solution Which of the following statements is TRUE? Worldwide markets…

A: Worldwide markets allude to the global exchange of goods, services, and capital among individuals,…

Q: Consider an imaginary price index, the Undergraduate Price Index (UPI), created to represent the…

A: The price index measures the change in price paid by consumers for a particular basket of goods.…

Q: According to neoclassical labor supply model, one reason why women have lower labor force…

A: The labor force in economics refers to the portion of the population that is either employed or…

Q: Consider the following model, characterized by an IS curve Yt=Zt-btrt, 1

A: yt=Zt-btrt--IS curveZt-- autonomous demandbt-- sensitivity parameter to rπt=πt-1+kyt--…

Q: From the given cash flow diagram, find the future value of the geometric gradient with unknown…

A: Interest rate i=0.111 compounded annually. A1=5000 and A15 =9900 For geometric gradient series, the…

Q: Which of the following could NOT shift this Phillips Curve upward? an increase in the price of…

A: Philips Curve: It is the curve that represents the relationship between inflation in the economy and…

Q: Suppose = the price for a pack of cigarette Is $20 and the sales tax IS $1. (1) The government aims…

A: A sales tax is a fee assessed on an item's or service's final sale. It is typically tacked on at the…

Q: market structure of the local pizza industry is best characterised by monopolistic competition.…

A: In monopolistic competition, there are differentiated products in the market and huge expenditures…

Q: 7. A risk-neutral principal hires an agent to work on a project at wage to. The agent's utility…

A: A risk neutral principal or agent is someone who is insensitive to any kind of risk factor that may…

Q: what are the benefits of open innovation for organizations?

A: Open innovation refers to a collaborative and participatory approach to innovation which involve…

Q: Suppose Home is a small exporter of wheat. At the world price of 100 US dollars per tonne, Home…

A: Export subsidy is the type of public policy that encourages the export of goods and services of a…

Q: Consider a cell phone market with an equilibrium price of $750 and an equilibrium quantity of 160…

A: Equilibrium is where the demand curve intersects the supply curve. Demand curve is the downward…

Q: The blue curve on the following graph shows the height of an airplane over 10 minutes of flight. The…

A: Slope is the mathematical instrument used in various studies that measures the rate of change of a…

Q: Table 3-5 Price of Good X $20 19 18 17 16 15 Quantity Supplied O greater; fall; toward O greater;…

A: Quantity demanded refers to the quantity of a good or service that consumers are willing and able to…

Q: Read the Chicago Tribune article titled “At Amazon’s Monee Warehouse, Robot Co-Workers are the New…

A: NOTE: Since you have asked multiple questions, answers to the first question will be provided as per…

Q: Exercise A.3 Two duopolists with constant and equal marginal costs supply the same market demand.…

A: Duopoly model is a type of oligopoly model where there are two sellers and numerous buyers in the…

Q: Calculate the real dollar rate of return on a 10,000 pound sterling deposit in a London bank in a…

A: The rate of return is the percentage gain or loss on an investment over a certain period of time,…

Q: Suppose the market for toothpaste is monopolistically competitive and in long-run equilibrium. The…

A: Monopolistically competitive market is characterized by the presence of the many buyers and sellers.…

Q: The following graph shows an increase in the demand for money from 2013 (MD2013) to 2014 (MD 2014)…

A: Money demand refers to the desire of individuals and firms to hold money for transactions,…

Q: Padayappa has now retired after 40 years of employment. He just made an annual deposit to his…

A: It is given that after 40 years of work, the person is getting retired and his retirement…

Q: According to the first paragraph of the statement, what factors did the committee consider in making…

A: The Federal Reserve serves as Country U's central bank. The Fed is a key player in the economy of…

Q: Which of the following is true in the circular flow model of the economy?   a. Households are…

A: In the circular flow model of the economy, households and firms interact in two markets: the product…

Q: The market structure of the local pizza industry is best characterised by monopolistic competition.…

A: The marginal cost (MC) function is the additional cost incurred by producing one additional unit of…

Q: Aa7  Subject - economics  2.4 Illustrate each of the following situations with a graph showing the…

A: Macroeconomic policy implies to governmental and the central bank's initiatives to manage the…

Q: 5. Consider the entry-deterrence game below. The potential entrant moves first and would have to…

A: Nash equilibrium refers to the situation in which each player in a game is making the best decision…

Q: Use the graph below and the following information to answer the next question(s). The world price of…

A: Demand curve is the downward-sloping curve.  Supply curve is the upward-sloping curve.  Equilibrium…

Q: Suppose Susan is currently using combination D, producing one boat per day. Her opportunity cost of…

A: The value of alternative opportunities foregone and sacrificed to acquire one unit of a commodity is…

Q: Explain how inflation was finally tamed in the early 1980's. Comment on which policy was used and…

A: NOTE: The question has been answered in a generalized manner. The situation of an increase in the…

Q: 5a. Consider the data in the table below. The inflation rate is 6% and the before-tax market…

A: Actual Dollars:The cash money which is in circulation in the economy and these dollars are inflated…

Q: Assume that the following are the statistics for Xlandia's inflation and unemployment from 1985 to…

A: Inflation rate refers to the increased price in a given period And unemployment  Rate = Percentage…

Q: A small town has a duopoly in its tattoo market.  Two firms, "Thread the Needle" and "Ink about it"…

A: Nash equilibrium is a set of strategies chosen by players when players have no incentive to deviate.