In the third quarter of 2007, real GDP was $11.6 trillion, the price level measured by the GDP chain price index was 208, and potential GDP was equal to $12.2 trillion. In the first quarter of 2009, aggregate demand decreased to $11.3 trillion, and the price level rose to 213. Draw a graph of this recession.

Q: 9). Given the total revenue function R(Q) 4350Q – 13Q² and %3D the total cost function C(Q) = Q³ – 5...

A: We are going to find critical value and analyze second order condition to answer this question.

Q: 3. If MU,1/Px1 > MU,2/PX2 is the consumer maximizing his utility? Explain how to maximize it if your...

A: The change in total utility because of change in one more unit of consumption is termed as marginal ...

Q: Scenario: Purchasing Power ParityA car costs $30,000 in the United States and the exchange rate is $...

A: Purchasing power parity is the comparing the same basket price rate between the countries.

Q: Assume an economy in which:(i) there are no exports and no imports,(ii) investors always want to spe...

A: The national income is the total income earned by all the citizens of a country in a particular peri...

Q: Discuss in a small text on the state of the world’s economy. Be sure to include the following points...

A: The World Bank's "Global Economic Prospects" report lowers the advanced economies' growth forecast f...

Q: If the price of Zumba class increases by 20%, while the quantity demanded for Zumba decreased by 40%...

A: The elasticity of (Ed) demand measures the extent of responsiveness of quantity (Qd) demanded due to...

Q: Include correctly labeled diagrams, if useful or required, in explaining your answers. A correctly l...

A: Since you have posted a question with multiple sub-parts, we will solve first three sub parts for yo...

Q: Name at least two elements in calculating separation costs and how you would measure them.

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any ...

Q: The US federal government gets most of its revenue from: a the discount rate b...

A: The US Treasury bills rate

Q: Explain what Uber and Careem would like to happen to oil prices in the future and why.

A: This is a significant movement for Uber as we keep on extending the strength of our foundation all t...

Q: Friedrich Hayek advocated for an economic system based on

A: In 1899, in Vienna, Austria, a famous economist was born. Friedrich Hayek is well-known in the field...

Q: Demand for apples is given by the function P=50-4q while supply is given by P=10+q. If a per-unit ta...

A: Per unit tax will increase the price by 15, thus the new supply equation will be given by  P = 10 + ...

Q: Fill in the blanks in the following statements to explain when (business cycle) the Fed will use mon...

A: The variations of gross domestic product (GDP) around its long-term growth pattern are known as the ...

Q: how satiation point is helpful in deriving indifference curve ?

A: Indifference curve(IC) is the locus of various combinations of commodities yielding same utility. If...

Q: help

A: The following problem has been solved as follows:

Q: Raka has 80 hours per week that she can allocate to work or leisure. Her job pays a wage rate of $20...

A: The microeconomic theory of utility maximisation can also be applied in determination of optimal cho...

Q: The price of corn is held above equilibrium. Use the Full Hill method steps to show what happens to ...

A: If the market of corn is held above the equilibrium price, quantity supplied will be greater than th...

Q: Suppose that in a small open economy with floating exchange rate system the government reducesthe de...

A: Under the floating exchange rate system,the exchange rate is determined by the market forces of supp...

Q: 5.Shoppers bought strawberries in March for S1.25 a pound rather than the S3.49 a pound they paid la...

A: In the production process, the conditions and fluctuations that happen between demand and also the s...

Q: If this consumer's maximum willingness to pay for a product is $280, but this consumer actually paid...

A: Microeconomics studies the economic behavior of individual units such as a market, a firm, a seller,...

Q: 3. Consider a simple two-firm case. Suppose both firms produce the same good, but at different margi...

A: This is an example of oligopoly market where firm are operating and many buyers are there. Both firm...

Q: Describe the effect of each of the following on “the potential income" and on "the standard of livin...

A:

Q: suppose expected inflation is 4% in the united kingdom and 1 % in the united states . if the relativ...

A: Let pound be the domestic (D) currency and $ be the foreign (F) currency. The exchange rate (ER) is ...

Q: What 4 things are excluded from GDP?  Why are they excluded?

A: GDP is that the final value of all the commodities produced within the boundaries of a country durin...

Q: Show all working explaining detailly each step Answer must be typewritten with a computer keyboard!

A: Population at time t is P.  relative growth rate is k  and constant migration rate is m.

Q: With examples of your choice, elucidate the following statement, ‘a computer systems engineer could ...

A:

Q: Suppose a firm produces tires using 1000000 worth of equipment that it owns, 200 workers that are ea...

A: The following problem has been answered as follows:

Q: Assume that an economy is characterized by the following equations: C = 250 + 0.75(Y - T); T = 1...

A: The equilibrium level of GDP is the potential GDP of the economy where economy is at full employment...

Q: Derive the equation of Expectation Augmented Phillips curve using standard equation of Aggregate Sup...

A: A. W. Phillips established the Phillips curve, which states that inflation and unemployment have a s...

Q: Answer only Part 10

A: Answer (10): (1).  Note: the equilibrium price will be £300 in Q7.  The formula for sales revenue is...

Q: Short-run pressures on market exchange rates result mainly from gradual changes in  flows of interna...

A: This statement is true. It is because the valuation of the exchange rate is determined by the cost o...

Q: Question 5 solution needed

A:   Reduction within the prices of imported oil would cause a decline within the price index and a ris...

Q: Use the consolidated balance sheets which give historical data for a particular business. Chart atta...

A:     (In $ million) 2014 2013 Difference Amount percent Current Assets         Cash an...

Q: Consider the production function Q = 2(KL)0.5   What is the marginal rate of technical substitution ...

A: The rate at which one input is reduced when the other input increases keeping the output constant is...

Q: In the H-O model, a country that exports one product and imports a different product is called inter...

A: Heckscher-Ohlin model states that the main determinant of patter of production, specialization and t...

Q: The period of time required for the project's profit or other benefits to equal the project's cost i...

A: Payback period is the required time period to recover the initial cost of the project.

Q: Provide a brief description of the topic(s) you are considering for the presentation in economics

A: Macroeconomics: Macroeconomics study aggregated indicators such as GDP, unemployment rates, and pric...

Q: Suppose that Palm Island, the world’s largest grower of coconuts, plans to build its first airport o...

A: The labor market, also known as the work market, is concerned with the availability and demand for l...

Q: Instead of paying transfer (TR) if the government were to increase government spending (G), what typ...

A: Given the statement is  Instead of paying transfer (TR) if the government were to increase governmen...

Q: Utility Maximization A consumer faces income constraints and has CES preferences of the following fo...

A: An individual always consumes in such a way so that his total utility can be maximized but a consume...

Q: 2. An exclusive Yoghurt manufacturer sells 4,000 gallons per month at a price of GHS 40 each. When t...

A: A) Calculate the price elasticity of demand as follows: Thus, the price elasticity of demand is -1....

Q: A monopolist earns $40 million annually and will maintain that level of profit indefinitely, provide...

A: We are going to find the present worth of current period profit and future period profit to answer t...

Q: The figure to the right shows curves representing the average cost of golf clubs produced in Scotlan...

A: 1. If the Scottish golf club producers are in turn the first in order to be established, then the Ma...

Q: You are offered an investment that will pay you GH¢ 200 in one year, GH¢ 400 the next year, GH¢ 600 ...

A:

Q: Consider an economy at its steady state. Assuming technical progress is growing at rate o...

A: The Solow model is a macroeconomic model developed by Robert Solow which defines long-run growth of ...

Q: One of the most important problems with the first cap and trade systems established to control green...

A: Answer- Need to find- One of the most important problems with the first cap and trade systems establ...

Q: Under what circumstances does aggregate demand increase? Aggregate demand increases if expected futu...

A: Option C ie increases, increases Expected future income, inflation or profits will increase aggregat...

Q: An economist collects data regarding the number of jobs an individual has held by age 21. Tim states...

A: It is given that Tim had 4 jobs, Sam had 3 jobs, Jill had 2 jobs, Sally had 2 jobs and Watney had 10...

Q: Explain the major functions of the Federal Reserve.

A: Federal Reserve is the central bank of US. It was established in order to provide flexible and stabl...

Q: _______ 10) National bills must always be proposed by members of Congress.

A: Even though the idea of a bill can originate from anyone and anywhere and can take inspiration form ...