Tag: Economics – Others

Firm B is the incumbent facing potential entry from its rival, firm A. Firm A’s strategies consist of {entry, stay out}. Firm B’s strategies are then {hard if entry; hard if stay out; soft if entry; soft if stay out}. Find the subgame perfect equilibrium to this game, if one exists.

2. The following questions are related to the New Keynesian Model.
(a) Why the assumption imperfect competition is important within each of the new Keynesian models.
(b) How the Wage Efficiency and Insider-Outsider models explain about the persistence of unemployment in the economy?

13Suppose that a university decides to spend $1 million to upgrade personal computers and scientific e parking for students. This example illustrates
distorted priorities
opportunity costs
incroasing opportunity costs
productive efficiency

According to Myers and Demantas, men took up housework and viewed their new roles as all of the following EXCEPT:
A new type of hard labor.
Being a good, epatorian feminist.
A different way of providing for their fanilies.
A rational eachange funpaid labor when they couldrt find paif workl.

If Ricardian equivalence holds, then a tax cut today financed by tax increases in the future will have no effect on the aggregate level of consumption. What is the best fiscal policy to undertake in a recession where consumption spending is low?

5 of 13
As a person receives more of a good, the additional or marginal utility from each additional unit of the good declines. Economists refer to this pattern as the
law of trade-off
law of diminishing marginal utility
law of increasing marginal utility
production possibilities frontier

Suppose the exchange rate changes and now a euro costs $1.45. The euro has _______ relative to the dollar and the wine will now be ______ for the American importer to purchase
A. depreciated; cheaper
B. appreciated; more expensive
C. appreciated; cheaper
D. appreciated; more expensive

A tusiness cycle is the:period of time in which expansion and contraction of economic activity are equal.period of time in which there re three phases peak depression and recovery:recurring growth and decline in real GDP.priod of theme in which a twiners it easherd and ceases operations.

Government expenditure on public copital (such as rosds, highways, bridges, mass-tanst systems, and electric power facilises) and on human capital (such as educasion, troining, and heath is colled

Changes in tariffs and quotas are
business actions stimulating imports
corporate strategies designed to maximize profits
government actions that reduce competition from international firms
efforts to stimulate choices among government agencies
a means of slowing outsourcing