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5. If the reserve ratio is 100 percent, how much will the money supply eventually increase if there is a deposit of $500 of paper money in a bank? $5000 b. $1000 c. $500 d. $0 a. LO850Ltb 6. Which of the

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5. The slope and position of the long-run aggregate supply curve Suppose the Fed doubles the growth rate of the quantity of money in the economy. In the long run, the increase in money growth will change which of the following? Check

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5. Suppose, due to a military conflict, that a country experiences a large reduction in its capital stock. Assume no other effects of this event on the economy. Which of the following will tend to occur as the economy adjusts to this

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5) Now suppose that the firm is a monopoly, so that no supply curve exists. The firm's inverse demand is as follows: P-90-,1*Qs. C(Q)-200+35Q+.1*Q². a) Find the profit maximizing level of Q and profits. b) Draw a graph that shows demand, marginal

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5. Suppose that a firm has the production function Q(K, L) = K1/4L1/4 with marginal products of labor and capital given by L/4 ?14 MP = = 4L/4 and MP 4?14 2Q2(wr)1/2. Finally, the firm's total costs are given by TC (a)

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5. The table below is from Duflo (2001). Use it to answer (a)-(b) Years of education Log(wages) High level region High level region Low level Low level region region Aged 2 to 6 in 1974 8.49 9.76 6.61 6.73 Aged 12 to

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5. Terry's typing service produces manuscripts. The only way to produce a manuscript is for one secretary to use one typewriter for one day. Two secretaries with one typewriter or one secretary with two typewriters can still only produce only one manuscript

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5. There is a town with exactly 1,000 residents. 75% of the residents make healthy choices, and 25% of the residents consistently make unhealthy choices, but the health insurance company in town cannot tell who is health and who is unhealthy. A

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5. Use the concept of PPF in answering the following questions (numbers are in generic units): (9 points) a. Explain what a point like point B inside the PPF means. b. Explain the movement from point B to point Z c. Explain

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5. Use the following diagram to answer the questions below. (14 points) ?C ATC N M D H MRY J K L V output a) What letters indicate the profit maximizing price and output? b) What areas represent the total cost of