Consider a frugal closed economy without money market. Assume there is no government or exports/imports. The economy is described by the following set of equations. C=1000+0.5⋅Y ID = 600 What is the equilibrium output Y* a)4000 b)2000 c)3200 d) 1600
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Consider a frugal closed economy without
C=1000+0.5⋅Y
ID = 600
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- Assume that an economy is based on three industrial sectors: agriculture (A), building (B), and energy (E). The technology matrix M is: A BE uarruarruarr (4 [0.6 0.2 0.1 0.4 0.1 0.1 0.4] 0.1 0.1 B 0.1 M How much input from A, B, and E are required to produce a dollar's worth of output for B? How much input from A is required to produce a dollar's worth of output for B? How much input from B is required to produce a dollar's worth of output for B? How much input from E is required to produce a dollar's worth of output for B ? Assume that an economy is based on three industrial sectors: agriculture (A), building (B), and energy (E). The technology matrix M is: A BE ↑ ↑ ↑ A-> 0.6 0.2 0.1 B-> =M 0.1 0.4 0.1 E-> 0.1 0.1 0.4 How much input from A, B, and E are required to produce a dollar's worth of output for B? How much input from A is required to produce a dollar's worth of output for B? How much input from B is required to produce a dollar's worth of output for B? How much input from E…The input-output matrix for a simplified economy with just three sectors (natural resources, manufacturing, and trade and services) is given below. Natural Resources Manufacturing Trade and Services 0.1044 0.0427 0.0029 0.0584 0.2031 Natural Resources Manufacturing 0.0826 Trade and Services 0.0866 0.1087 0.1019 Suppose the demand (in millions of dollars) matrix is the matrix D, shown below. Find the amount each sector should produce. 451 D= 301 125 Production levels of units from natural resources, services are needed. (Round to the nearest whole number as needed.) units from manufacturing, and units from trade andThe Chief Executive Officer of Dar Al Herfya (World of Handicrafts) spends her days contacting potential clients and setting up meetings in which she explains the salient features of the hand-made products she sells and their role in sustaining the rural economy in Oman. Her hectic schedule has not diminished her enthusiasm a bit. “This has been my routine for the last three years. You have to work hard if you have a mission,” says Zuwaina of her pet project. In 2012, Zuwaina relinquished her top corporate job, and all the perks that went with it, to launch her own company with the goal of promoting traditional Omani handicraft. “I worked with Omran as director of branding, and Omantel as senior manager of branding and communication. During my stints, I observed that corporate gifts never reflected Oman’s cultural identity. It prompted me to do an independent market research to learn about the alternatives available. It culminated in the launch of Dar Al Herfya,”…
- The Chief Executive Officer of Dar Al Herfya (World of Handicrafts) spends her days contacting potential clients and setting up meetings in which she explains the salient features of the hand-made products she sells and their role in sustaining the rural economy in Oman. Her hectic schedule has not diminished her enthusiasm a bit. “This has been my routine for the last three years. You have to work hard if you have a mission,” says Zuwaina of her pet project. In 2012, Zuwaina relinquished her top corporate job, and all the perks that went with it, to launch her own company with the goal of promoting traditional Omani handicraft. “I worked with Omran as director of branding, and Omantel as senior manager of branding and communication. During my stints, I observed that corporate gifts never reflected Oman’s cultural identity. It prompted me to do an independent market research to learn about the alternatives available. It culminated in the launch of Dar Al Herfya,”…What will be the impact of Covid 19 on global economy and local economic system? Explain.Please note that the bold red and blue lines below demonstrate the quantity versus price relationship for supply and demand in normal circumstances for a particular product. Note: The horizontal axis is quantity, and the Vertical axis is price. 2900 2800 2700 2600 2500 2400 2300 2200 2100 2000 1900 1800 1700 1600 1500 1400 1300 1200 1100 1000 900 800 700 600 500 400 300 200 100 0 -Curve A -Curve B 0 Supply and Demand Curves: →→ Curve C 5 10 15 20 25 30 35 40 --Curve D ---Curve E -Curve F 45 50 55 60 65 70 75 80 85 90 95 100 105
- I have worked on 1-3, but am stuck on 4-6, could you please assist? Suppose that the economy is summarized by the following: Technology (Production Function): Yt = 10 (Kt)0.3 (Lte)0.7 Consumption function: Ct = 0.8Yt Depreciation rate: 8% (i.e. δ= 0.08) Population growth: 2% (i.e. n = 0.02) Technological growth: 4% (i.e. g = 0.04) QUESTIONS: Find the steady state (long run) equilibrium values of kte, yet, and cet. Show graphically what would be the effect of a increase of the saving rate to s=0.4? Show graphically what would be the effect of an increase in population growth to 0.04? Assuming that in 2013 the US economy is in the steady state and L2013 = Le2013 = 8, what is the value of ke2014, ye2014, ce2014 , k2014, y2014, and c2014 ? Use your answer to e) to calculate the growth rate of ket, yet, cet , kt, yt, and ct Based on your answers to the previous questions and on your knowledge of how the Solow growth model works, explain what policies should a less-developed country…Suppose the macroeconomic parameters are as follows in Turkey. Production: Y = A K1/3 L2/3 (A= 7 ) Factor supplies: K, L (K = 3000, and L= 1300) Government: 2200, Taxes: 2000 Consumer behavior C = 1000 + 0.6 (Y-T Investment behavior | = 3000 - 1000г Compute real interest rate in Turkey (Show the percentage value as numerical such as 15 for %15 or 0.15).Assume that GBP|USD = 2.00 (rate chosen for math ease). After the passage of a significant tax increase in the United States, the United States stock market is expected to drop significantly over the next month while the British stock market is expected to show steady growth. As a result which of following is most likely in a graph of the currency market with GBP per USD (original equilibrium is USD|GPB = 0.50) on the vertical axis (quantity of USD on horizontal axis)? Drawing a diagram would be useful. A. The supply curve would shift left and the new price would be greater than 0.50. B. The supply curve would shift right and the new price would be greater than 0.50. C. The supply curve would shift left and the new price would be less than 0.50. D. The supply curve would shift right and the new price would be less than 0.50.Josel owns two fields: Green 4. Joint PPF and quantity restriction field and Blue field. He can produce corn and wheat. Green field has 80 acres, and it takes 10 acres to produce 1 bushel of corn and 20 acres to produce 1 bushel of wheat. Blue field has 100 acres, and it takes 20 acres to produce 1 bushel of corn and 10 acres to produce 1 bushel of wheat. Suppose that the government imposes a quantity restriction on only corn. Specifically, A quantity restriction of 4 bushels of corn in Green field. That is, Green field is allowed to produce at most 4 bushels of corn, and A quantity restriction of 2 bushels of corn in Blue field. That is, Blue field is allowed to produce at most 2 bushels of corn. (a) Sketch the joint PPF. Clearly label your graph (i.e., indicate values for slopes, intercept(s), endpoint (s), and kink(s)).Holding everything else constant, an increase in the savings rate will reduce the level of consumption per worker. True FalseSEE MORE QUESTIONS