While Jon is walking to school one morning, a helicopter flying overhead
drops a $100 bill. Not knowing how to return it, Jon keeps the money and deposits it
in his bank. If the bank keeps 5 percent of its money in reserves:
a. How much
13. Given the following data about the economy:
Net foreign factor income
Compensation to employees
a. Calculate a
Weekly Assignment #1:
2. In a centrally planned socialist economy, what is the central coordinating
The central coordinating mechanism in a centrally planned socialist economy would
be the Government and central planners. I say Government and C
Using the demand and supply of loanable funds, demonstrate the effect of the
following on the interest rate. As a result what would you expect to be the impact of
the change on growth?
a. Government increases spending.
If the Government w
2. In the early 2000s, the demand for housing increased substantially as low interest
rates increased the number of people who could afford homes.
a. What was the likely effect of this on housing prices?
While the de