tag:blogger.com,1999:blog-76941903445530115372024-02-20T07:23:04.357-05:00Economics - McConnell - Flynn - 19ed- SolutionsPhttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comBlogger39125tag:blogger.com,1999:blog-7694190344553011537.post-46746329916377161642020-01-30T12:43:00.002-05:002020-01-30T12:43:38.714-05:00Economics - McConnell Flynn - 19 edition. Chapter 39W. Textbook solutions
<b>39w.1</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.2</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.3</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.4</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.5</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.6</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.7</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.8</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.9</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.10</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.11</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.12</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>39w.13</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=39W.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 39W.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-48251892755478889712020-01-30T12:42:00.003-05:002020-01-30T12:42:37.008-05:00Economics - McConnell Flynn - 19 edition. Chapter 38. Textbook solutions
<b>38.1</b> Do
all international financial transactions necessarily involve exchanging
one nation's distinct currency for another? Explain. Could a nation
that neither imports goods and services nor exports goods and services
still engage in international financial transactions?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.2</b> Explain:
“U.S. exports earn supplies of foreign currencies that Americans can
use to finance imports.” Indicate whether each of the following creates a
demand for or a supply of European euros in foreign exchange markets;<span class="bold">a</span>.A U.S. airline firm purchases several Airbus planes assembled in France.<span class="bold">b</span>.A German automobile firm decides to build an assembly plant in South Carolina.<span class="bold">c</span>.A U.S. college student decides to spend a year studying at the Sorbonne in Paris.<span class="bold">d</span>.An Italian manufacturer ships machinery from one Italian port to another on a Liberian freighter.<span class="bold">e</span>.The U.S. economy grows faster than the French economy.<span class="bold">f.</span>A U.S. government bond held by a Spanish citizen matures, and the loan amount is paid back to that person.<span class="bold">g</span>.It is widely expected that the euro will depreciate in the near future.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.3</b> What
do the plus signs and negative signs signify in the U.S.
balance-of-payments statement? Which of the following items appear in
the current account and which appear in the capital and financial
account? U.S. purchases of assets abroad; U.S. services imports; foreign
purchases of assets in the United States; U.S. good exports, U.S. net
investment income. Why must the current account and the capital and
financial account sum to zero?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.4</b> What
are official reserves? How do net sales of official reserves to
foreigners and net purchases of official reserves from foreigners relate
to U.S. balance-of-payment deficits and surpluses? Explain why these
deficits and surpluses are not actual deficits and surpluses in the <span class="italics">overall</span> balance-of-payments statement.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.5</b> Generally
speaking, how is the dollar price of euros determined? Cite a factor
that might increase the dollar price of euros. Cite a different factor
that might decrease the dollar price of euros. Explain: "A rise in the
dollar price of euros necessarily means a fall in the euro price of
dollars." Illustrate and elaborate: "The dollar-euro exchange rate
provides a direct link between the prices of goods and services produced
in the Euro Zone and in the United States." Explain the
purchasing-power-parity theory of exchange rates, using the euro-dollar
exchange rate as an illustration.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.6</b> Suppose
that a Swiss watchmaker imports watch components from Sweden and
exports watches to the United States. Also suppose the dollar
depreciates, and the Swedish krona appreciates, relative to the Swiss
franc. Speculate as to how each would hurt the Swiss watchmaker.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.7</b> Explain
why the U.S. demand for Mexican pesos is downsloping and the supply of
pesos to Americans is upsloping. Assuming a system of flexible exchange
rates between Mexico and the United States, indicate whether each of the
following would cause the Mexican peso to appreciate or depreciate,
other things equal:<span class="bold">a.</span> The United States unilaterally reduces tariffs on Mexican products.<span class="bold">b.</span> Mexico encounters severe inflation.<span class="bold">c.</span> Deteriorating political relations reduce American tourism in Mexico.<span class="bold">d.</span> The U.S. economy moves into a severe recession.<span class="bold">e.</span> The United States engages in a high-interest-rate monetary policy.<span class="bold">f.</span> Mexican products become more fashionable to U.S. consumers.<span class="bold">g.</span> The Mexican government encourages U.S. firms to invest in Mexican oil fields.<span class="bold">h.</span> The rate of productivity growth in the United States diminishes sharply.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.8</b> Explain why you agree or disagree with the following statements. Assume other things equal.<span class="bold">a.</span> A country that grows faster than its major trading partners can expect the international value of its currency to depreciate.<span class="bold">b.</span>
A nation whose interest rate is rising more rapidly than interest rates
in other nations can expect the international value of its currency to
appreciate.<span class="bold">c.</span> A country’s currency will appreciate if its inflation rate is less than that of the rest of the world.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.9</b> ”Exports
pay for imports. Yet in 2009 the nations of the world exported about
$379 billion more of goods and services to the United States than they
imported from the United States.” Resolve the apparent inconsistency of
these two statements.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.10</b> Diagram
a market in which the equilibrium dollar price of 1 unit of fictitious
currency zee (Z) is $5 (the exchange rate is $5 = Z1). Then show on your
diagram a decline in the demand for zee.<span class="bold">a.</span>
Referring to your diagram, discuss the adjustment options the United
States would have in maintaining the exchange rate at $5 = Zl under a
fixed-exchange-rate system.<span class="bold">b.</span> How would
the U.S. balance-of-payments surplus that is caused by the decline in
demand be resolved under a system of flexible exchange rates?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.11</b> Suppose
that a country follows a managed-float policy but that its exchange
rate is currently floating freely. In addition, suppose that it has a
massive current account deficit. Does it also necessarily have a
balance-of-payments deficit? If it decides to engage in a currency
intervention to reduce the size of its current account deficit, will it
buy or sell its own currency? As it does so, will its official reserves
of foreign currencies get larger or smaller? Would that outcome indicate
a balance-of- payments deficit or a balance-of-payments surplus?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.12</b> What
have been the major causes of the large U.S. trade deficits in recent
years? What are the major benefits and costs associated with trade
deficits? Explain: "A trade deficit means that a nation is
receiving more goods and services from abroad than it is sending
abroad." How can that be considered to be “unfavorable”?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>38.13</b> <span class="bold">LAST WORD</span>
Suppose Super D’Hiver—a hypothetical French snowboard retailer—wants to
order 5000 snowboards made in the United States. The price per board is
$200, the present exchange rate is 1 euro = $1, and payment is due in
dollars when the boards are delivered in 3 months. Use a numerical
example to explain why exchange-rate risk might make the French retailer
hesitant to place the order. How might speculators absorb some of Super
D’Hiver’s risk?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=38.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 38.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-42101686776730842492020-01-30T12:42:00.000-05:002020-01-30T12:42:13.878-05:00Economics - McConnell Flynn - 19 edition. Chapter 37. Textbook solutions
<b>37.1</b> Quantitatively,
how important is international trade to the United States relative to
the importance of trade to other nations? What country is the United
States’ most important trading partner, quantitatively? With what
country does the United States have the largest trade deficit?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.2</b> Distinguish
among land-, labor-, and capital-intensive goods, citing an example of
each without resorting to book examples. How do these distinctions
relate to international trade? How do distinctive products, unrelated to
resource intensity, relate to international trade?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.3</b> Explain:
“The United States can make certain toys with greater productive
efficiency than can China. Yet we import those toys from China” Relate
your answer to the ideas of Adam Smith and David Ricardo.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.4</b> Suppose
Big Country can produce 80 units of X by using all its resources to
produce X or 60 units of Y by devoting all its resources to Y.
Comparable figures for Small Nation are 60units of X and 60 units of Y.
Assuming constant costs, in which product should each nation specialize?
Explain why. What are the limits of the terms of trade between these
two countries? How would rising costs (rather than constant costs)
affect the extent of specialization and trade between these two
countries?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.5</b> What
is an export demand curve? What is an import supply curve? How do such
curves relate to the determination of the equilibrium world price of a
tradable good?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.6</b> Why
is a quota more detrimental to an economy than a tariff that results in
the same level of imports as the quota? What is the net outcome of
either tariffs or quotas for the world economy?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.7</b> Draw
a domestic supply-and-demand diagram for a product in which the United
States does not have a comparative advantage. What impact do foreign
imports have on domestic price and quantity? On your diagram show a
protective tariff that eliminates approximately one-half of the assumed
imports. What are the price-quantity effects of this tariff on (<span class="italics">a</span>) domestic consumers, (<span class="italics">b</span>) domestic producers, and (<span class="italics">c</span>) foreign exporters? How would the effects of a quota that creates the same amount of imports differ?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.8</b> “The
potentially valid arguments for tariff Protection –military
self–sufficiency, infant industry protection, and diversification for
stability–are also the most easily abused.” Why are these arguments
susceptible to abuse?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.9</b> Evaluate
the effectiveness of artificial trade barriers, such as tariffs and
import quotas, as a way to achieve and maintain full employment
throughout the U.S. economy. How might such policies reduce unemployment
in one U.S. industry but increase it in another U.S. industry?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.10</b>
In
2007, manufacturing workers in the United States earned average
compensation of $30.56 per hour. That same year manufacturing workers in
Mexico earned average compensation of $3.91 per hour. How can U.S.
manufacturers possibly compete? Why isn't all manufacturing done in
Mexico and other low-wage countries?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.11</b> How
might protective tariffs reduce both the imports and the exports of the
nation that levies tariffs? In what wav do foreign firms that “dump”
their products onto the U.S. rnarker ineffect provide bargains to
American consumers? How might the import competition leadto quality
improvements and cost reductions by American firms?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.12</b> Identify and state the significance of each of the following trade-related entities: (<span class="italics">a</span>) the WTO; (<span class="italics">b</span>) the EU; (<span class="italics">c</span>) the Euro Zone, and (<span class="italics">d</span>) NAFTA.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.13</b> What
form does trade adjustment assistance take in the United States?
Howdoes such assistance promote political support for free-trade
agreements? Do you think workers who lose their jobs because of changes
in trade laws deserve special treatment relative to workers who lose
their jobs because of other changes in the economy, say, changes in
patterns of government spending?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.14</b> what
is offshoring of white-collar service jobs and how does that practice
relate to international trade?Why has offshoring increased over the past
few decades? Give an example (other than that in the textbook) of how
offshoring can eliminate some American jobs while creating other
American jobs.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.14&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.14 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>37.15</b> <span class="bold">LASTWORD</span> what was the central point that Bastiat was trying to make in his imaginary petition of the candlemakers?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=37.15&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 37.15 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-56927873775302321122020-01-30T12:41:00.006-05:002020-01-30T12:41:40.596-05:00Economics - McConnell Flynn - 19 edition. Chapter 36. Textbook solutions
<b>36.1</b> First,
imagine that both input and output prices are fixed in the economy.
What does the aggregate supply curve look like? If AD decreases in this
situation, what will happen to equilibrium output and the price
level? Next, imagine that input prices are fixed, but output prices are
flexible. What does the aggregate supply curve look like? In this case,
if AD decreases, what will happen to equilibrium output and the price
level? Finally, if both input and output prices are fully flexible, what
does the aggregate supply curve look like? In this case, if AD
decreases, what will happen to equilibrium output and the price level?
(To check your answers, review Figures 29.3, 29.4, and 29.5 in Chapter
29).<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.2</b> According
to mainstream economists, what is the usual cause of macroeconomic
instability? What role does the spending-income multiplier play in
creating instability? How might adverse aggregate supply factors cause
instability, according to mainstream economists?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.3</b> What
is an efficiency-wage? How might payment of an above-market wage reduce
shirking by employees and reduce worker turnover? How might efficiency
wages contribute to downward wage inflexibility, at least for a time,
when aggregate demand declines?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.4</b> How might relationships between so-called insiders and outsiders contribute to downward wage inflexibility?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.5</b> Briefly describe the difference between a so-called real business cycle and a more traditional “spending” business cycle.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.6</b> Craig
and Kris were walking directly toward each other in a congested store
aisle. Craig moved to his left to avoid Kris, and at the same time Kris
moved to his right to avoid Craig. They bumped into each other. What
concept does this example illustrate? How does this idea relate to
macroeconomic instability?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.7</b> State
and explain the basic equation of monetarism. What is the major cause
of macroeconomic instability, as viewed by monetarists?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.8</b> Use the equation of exchange to explain the rationale for a monetary rule. Why will such a rule run into trouble if <span class="italics">V</span> unexpectedly falls because of, say, a drop in investment spending by businesses?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.9</b> Use
an AD-AS graph to demonstrate and explain the price- level and
real-output outcome of an anticipated decline in aggregate demand, as
viewed by RET economists. (Assume that the economy initially is
operating at its full-employment level of output.) Then demonstrate and
explain on the same graph the outcome as viewed by mainstream
economists.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.10</b> Explain
the difference between "active" discretionary fiscal policy advocated
by mainstream economists and “passive” fiscal policy advocated by new
classical economists. Explain: “The problem with a balanced-budget
amendment is that it would, in a sense, require active fiscal policy—but
in the wrong direction—as the economy slides into recession.”<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.11</b> Place
“MON,” “RET,” or “MAIN” beside the statements that most closely reflect
monetarist, rational expectations, or mainstream views, respectively:<span class="bold">a.</span> Anticipated changes in aggregate demand affect only the price level; they have no effect on real output.<span class="bold">b.</span> Downward wage inflexibility means that declines in aggregate demand can cause long-lasting recession.<span class="bold">c.</span> Changes in the money supply <span class="italics">M</span> increase <span class="italics">PQ</span>; at first only <span class="italics">Q</span> rises, because nominal wages are fixed, but once workers adapt their expectations to new realities, <span class="italics">P</span> rises and <span class="italics">Q</span> returns to its former level.<span class="bold">d.</span> Fiscal and monetary policies smooth out the business cycle.<span class="bold">e.</span> The Fed should increase the money supply at a fixed annual rate.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.12</b> You
have just been elected president of the United States, and the present
chairperson of the Federal Reserve Board has resigned. You need to
appoint a new person to this position, as well as a person to chair your
Council of Economic Advisers. Using Table 36.1 and your knowledge of
macroeconomics, identify the views on macro theory and policy you would
want your appointees to hold. Remember, the economic health of the
entire nation— and your chances for reelection—may depend on your
selections.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>36.13</b> <span class="bold">LAST WORD</span>
Compare and contrast the Taylor rule for monetary policy with the
older, simpler monetary rule advocated by Milton Friedman.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=36.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 36.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-14649062059321353292020-01-30T12:41:00.003-05:002020-01-30T12:41:21.312-05:00Economics - McConnell Flynn - 19 edition. Chapter 35. Textbook solutions
<b>35.1</b> Distinguish between the short run and the long run as they relate to macroeconomics. Why is the distinction important?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.2</b> Which of the following statements are true? Which are false? Explain why the false statements are untrue.<span class="bold">a.</span> Short-run aggregate supply curves reflect an inverse relationship between the price level and the level of real output.<span class="bold">b.</span> The long-run aggregate supply curve assumes that nominal wages are fixed.<span class="bold">c.</span> In the long run, an increase in the price level will result in an increase in nominal wages.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.3</b> Suppose
the full-employment level of real output (Q) for a hypothetical economy
is $250 and the price level (P) initially is 100. Use the short-run
aggregate supply schedules below to answer the questions that follow:
LO1...a.
What will be the level of real output in the short run if the price
level unexpectedly rises from 100 to 125 because of an increase in
aggregate demand? What if the price level unexpectedly falls from 100 to
75 because of a decrease in aggregate demand? Explain each situation,
using numbers from the table.<br />b. What will be the level
of real output in the long run when the price level rises from 100 to
125? When it falls from 100 to 75? Explain each situation.<br />c. Show the circumstances described in parts a and b on graph paper, and derive the long-run aggregate supply curve.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.4</b> Use
graphical analysis to show how each of the following would affect, the
economy first in the short run and then in the long run. Assume that the
United States is initially operating at its full-employment level of
output, that prices and wages are eventually flexible both upward and
downward, and that there is no counteracting fiscal or monetary policy.<span class="bold">a.</span> Because of a war abroad, the oil supply to the United States is disrupted, sending oil prices rocketing upward.<span class="bold">b.</span> Construction spending on new homes rises dramatically, greatly increasing total U.S. investment spending.<span class="bold">c.</span> Economic recession occurs abroad, significantly reducing foreign purchases of U.S. exports.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.5</b> Between
1990 and 2009, the U.S. price level rose by about 64 percent while real
output increased by about 62 percent. Use the aggregate
demand-aggregate supply model to illustrate these outcomes graphically.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.6</b>
Assume
there is a particular short-run aggregate supply curve for an economy
and the curve is relevant for several years. Use the AD-AS analysis to
show graphically why higher rates of inflation over this period would be
associated with lower rates of unemployment, and vice versa. What is
this inverse relationship called?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.7</b> Suppose
the government misjudges the natural rate of unemployment to be much
lower than it actually is, and thus undertakes expansionary fiscal and
monetary policies to try to achieve the lower rate. Use the concept of
the short-run Phillips Curve to explain why these policies might at
first succeed. Use the concept of the long-run Phillips Curve to explain
the long-run outcome of these policies.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.8</b> What
do the distinctions between short-run aggregate supply and long-run
aggregate supply have in common with the distinction between the
short-run Phillips Curve and the long-run Phillips Curve? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.9</b> What
is the Laffer Curve, and how does it relate to supply- side economics?
Why is determining the economy's location on the curve so important in
assessing tax policy?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.10</b> Why
might one person work more, earn more, and pay more income tax when his
or her tax rate is cut, while another person will work less, earn less,
and pay less income tax under the same circumstance?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>35.11</b> <span class="bold">LAST WORD</span>
On average, does an increase in taxes raise or lower real GDP? If taxes
as a percent of GDP go up 1 percent, by how much does real GDP change?
Are the decreases in real GDP caused by tax increases temporary or
permanent? Does the intention of a tax increase matter?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=35.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 35.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-8547750648731147082020-01-30T12:40:00.010-05:002020-01-30T12:40:59.854-05:00Economics - McConnell Flynn - 19 edition. Chapter 34. Textbook solutions
<b>34.1</b> Suppose
that the city of New York issues bonds to raise money to pay for a new
tunnel linking New Jersey and Manhattan. An investor named Susan buys
one of the bonds on the same day that the city of New York pays a
contractor for completing the first stage of construction. Is Susan
making an economic or a financial investment? What about the city of New
York?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.2</b> What is compound interest? How does it relate to the formula: <span class="italics">X</span> dollars today = (1 + <span class="italics">i</span>)<span class="sup">t</span> <span class="italics">X</span> dollars in <span class="italics">t</span> years? What is present value? How does it relate to the formula: <span class="italics">X</span>/(1 + <span class="italics">i</span>)<span class="Sup">t</span> dollars today = <span class="italics">x</span> dollars in <span class="italics">t</span> years?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.3</b> How
do stocks and bonds differ in terms of the future payments that they
are expected to make? Which type of investment (stocks or bonds) is
considered to be more risky? Given what you know, which investment
(stocks or bonds) do you think commonly goes by the nickname “fixed
income”?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.4</b> What are mutual funds? What different types of mutual funds are there? And why do you think they are so popular with investors?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.5</b> Corporations
often distribute profits to their shareholders in the form of
dividends, which are simply checks mailed out to shareholders. Suppose
that you have the chance to buy a share in a fashion company called
Rogue Designs for $35 and that the company will pay dividends of $2 per
year on that share every year. What is the annual percentage rate of
return? Next, suppose that you and other investors could get a 12
percent per year rate of return by owning the stocks of other very
similar fashion companies. If investors care only about rates of return,
what should happen to the share price of Rogue Designs? (Hint: This is
an arbitrage situation.)<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.6</b> Why
is it reasonable to ignore diversifiable risk and care only about
nondiversifiable risk? What about investors who put all their money into
only a single risky stock? Can they properly ignore diversifiable risk?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.7</b> If
we compare the betas of various investment opportunities, why do the
assets that have higher betas also have higher average expected rates of
return?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.8</b> In
this chapter we discussed short-term U.S. government bonds. But the
U.S. government also issues longer-term bonds with horizons of up to 30
years. Why do 20-year bonds issued by the U.S. government have lower
rates of return than 20-year bonds issued by corporations? And which
would you consider more likely, that longer- term U.S. government bonds
have a higher interest rate than short-term U.S. government bonds, or
vice versa? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.9</b> What
determines the vertical intercept of the Security Market Line (SML)?
What determines its slope? And what will happen to an asset's price if
it initially plots onto a point above the SML?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.10</b> Suppose
that the Federal Reserve thinks that a stock market bubble is occurring
and wants to reduce stock prices. What should it do to interest rates?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.11</b> Consider
another situation involving the SML. Suppose that the risk-free
interest rate stays the same, but that investors' dislike of risk grows
more intense. Given this change, will average expected rates of return
rise or fall? Next, compare what will happen to the rates of return on
low-risk and high-risk investments. Which will have a larger increase in
average expected rates of return, investments with high betas or
investments with low betas? And will high-beta or low-beta investments
show larger percentage changes in their prices?.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>34.12</b> <span class="bold">LAST WORD</span>
Why is it so hard for actively managed funds to generate higher rates
of return than passively managed index funds having similar levels of
risk? Is there a simple way for an actively managed fund to increase its average expected rate of return?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=34.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 34.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-20919831589408017632020-01-30T12:40:00.006-05:002020-01-30T12:40:37.428-05:00Economics - McConnell Flynn - 19 edition. Chapter 33. Textbook solutions
<b>33.1</b> What is the basic determinant of (<span class="italics">a</span>) the transactions demand and (<span class="italics">b</span>)
the asset demand for money? Explain how these two demands can be
combined graphically to determine total money demand. How is the
equilibrium interest rate in the money market determined? Use a graph to
show the effect of an increase in the total demand for money on the
equilibrium interest rate (no change in money supply), Use your general
knowledge of equilibrium prices to explain why the previous interest
rate is no longer sustainable.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.2</b> What
is the basic objective of monetary policy? What are the major strengths
of monetary policy? Why is monetary policy easier to conduct than
fiscal policy?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.3</b> Use
commercial bank and Federal Reserve Bank balance sheets to demonstrate
the effect of each of the following transactions on commercial bank
reserves:<span class="bold">a</span>. Federal Reserve Banks purchase securities from banks.<span class="bold">b</span>. Commercial banks borrow from Federal Reserve Banks at the discount rate.<span class="bold">c</span>. The Fed reduces the reserve ratio.<span class="bold">d</span>. Commercial banks borrow from Federal Reserve Banks after winning an auction held as part of the term auction facility.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.4</b> Distinguish
between the Federal funds rate and the prime interest rate. Why is one
higher than the other? Why do changes in the two rates closely track one
another?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.5</b> Why
is a decrease in the supply of Federal funds shown as an upshift of the
supply curve in Figure 33.3, whereas an increase in Federal funds is
shown as a downshift of the supply curve?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.6</b> Suppose
that you are a member of the Board of Governors of the Federal Reserve
System. The economy is experiencing a sharp rise in the inflation rate.
What change in the Federal funds rate would you recommend? How would
your recommended change get accomplished? What impact would the actions
have on the lending ability of the banking system, the real interest
rate, investment spending, aggregate demand, and inflation?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.7</b> Explain
the links between changes in the nation's money supply, the interest
rate, investment spending, aggregate demand, real GDP, and the price
level.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.8</b> What
do economists mean when they say that monetary policy can exhibit
cyclical asymmetry? How does the idea of a liquidity trap relate to
cyclical asymmetry? Why is this possibility of a liquidity trap
significant to policymakers?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>33.9</b> <span class="bold">LAST WORD</span>
What are the three main aggregate supply factors that determine a
nation's potential (or full-employment) level of real output? What are
the four main components of aggregate demand? Explain: "Aggregate supply
factors determine a nation's potential GDP, whereas aggregate demand
factors determine whether or not the nation achieves its full employment
GDP." How does fiscal and monetary policy relate to aggregate demand?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=33.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 33.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-37930173236866697822020-01-30T12:40:00.002-05:002020-01-30T12:40:13.967-05:00Economics - McConnell Flynn - 19 edition. Chapter 32. Textbook solutions
<b>32.1</b> What
is the difference between an asset and a liability on a bank’s balance
sheet? How does net worth relate to each? Why must a balance sheet
always balance? What are the major assets and claims on a commercial
bank’s balance sheet?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.2</b> Explain
why merchants accepted gold receipts as a means of payment even though
the receipts were issued by goldsmiths, not the government. What risk
did goldsmiths introduce into the payments system by issuing loans in
the form of gold receipts?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.3</b> Why
is the banking system in the United States referred to as a fractional
reserve bank system? What is the role of deposit insurance in a
fractional reserve system?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.4</b>
Why
does the Federal Reserve require commercial banks to have reserves?
Explain why reserves are an asset to commercial banks but a liability to
the Federal Reserve Banks. What are excess reserves? How do you
calculate the amount of excess reserves held by a bank? What is the
significance of excess reserves?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.5</b> “Whenever
currency is deposited in a commercial bank, cash goes out of
circulation and, as a result, the supply of money is reduced.” Do you
agree? Explain why or why not.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.6</b> “When a commercial bank makes loans, it creates money; when loans are repaid, money is destroyed.” Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.7</b> Suppose
that Mountain Star Bank discovers that its reserves will temporarily
fall slightly below those legally required. How might it temporarily
remedy this situation through the Federal funds market? Now assume
Mountain Star finds that its reserves will be substantially and
permanently deficient. What remedy is available to this bank? (Hint:
Recall your answer to question 6.)<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.8</b> Explain
why a single commercial bank can safely lend only an amount equal to
its excess reserves but the commercial banking system as a whole can
lend by a multiple of its excess reserves. What is the monetary
multiplier, and how does it relate to the reserve ratio?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.9</b> How
would a decrease in the reserve requirement affect the (a) size of the
money multiplier, (b) amount of excess reserves in the banking system,
and (c) extent to which the system could expand the money supply through the creation of checkable deposits via loans?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>32.10</b> <span class="bold">LAST WORD</span>
Explain how the bank panics of 1930–1933 produced a decline in the
nation’s money supply. Why are such panics highly unlikely today?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=32.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 32.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-54253994033389276482020-01-30T12:39:00.002-05:002020-01-30T12:39:53.620-05:00Economics - McConnell Flynn - 19 edition. Chapter 31. Textbook solutions<b>31.1</b> What
are the three basic functions of money? Describe how rapid inflation
can undermine money’s ability to perform each of the three functions.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.2</b> Which two of the following financial institutions offer checkable deposits included within the <span class="italics">M</span>1
money supply: mutual fund companies; insurance companies; commercial
banks; securities firms; thrift Institutions? Which of the following
items is not included in either <span class="italics">M</span>1 or <span class="italics">M</span>2:
currency held by the public; checkable deposits; money market mutual
fund balances; small-denominated (less than $100,000) time deposits;
currency held by banks; savings deposits?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.3</b> What are the components of the <span class="italics">M</span>1 money supply? What is the largest component? Which of the components of <span class="italics">M</span>1 is legal tender? Why is the face value of a coin greater than its intrinsic value? What near-monies are included in the <span class="italics">M</span>2 money supply?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.4</b> Explain and evaluate the following statements:<span class="bold">a.</span>
The invention of money is one of the great achievements of humankind,
for without it the enrichment that comes from broadening trade would
have been impossible.<span class="bold">b.</span> Money is whatever society says it is.<span class="bold">c.</span> In the United States, the debts of government and commercial banks are used as money.<span class="bold">d.</span>
People often say they would like to have more money, but what they
usually mean is that they would like to have more goods and services. .<span class="bold">e.</span> When the price of everything goes up, it is hot because everything is worth more but because the currency is worth less.<span class="bold">f.</span> Any central bank can create money; the trick is to create enough, but not too much, of it.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.5</b> What
“backs” the money supply in the United States? What determines the
value (domestic purchasing power) of money? How does the purchasing
power of money relate to the price level? Who in the United States is responsible for maintaining money’s purchasing power?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.6</b> How
is the chairperson of the Federal Reserve System selected? Describe the
relationship between the Board of Governors of the Federal Reserve
System and the 12 Federal Reserve Banks. What is the purpose of the
Federal Open Market Committee (FOMC)? What is its makeup?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.7</b> The
following are two hypothetical ways in which the Federal Reserve Board
might be appointed. Would you favour either of these two methods over
the present method? Why or why not?<span class="bold">a.</span>
Upon taking office, the U.S. president appoints seven people to the
Federal Reserve Board, including a chair. Each appointee must be
confirmed by a majority vote of the Senate, and each serves the same
4-year term as the president.<span class="bold">b.</span>
Congress selects seven members from its ranks (four from the House of
Representatives and three from the Senate) to serve at congressional
pleasure as the Board of Governors of the Federal Reserve System.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.8</b> What is meant when economists say that the Federal Reserve Banks are central banks, quasi-public banks, and bankers’ banks?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.9</b> Why
do economists nearly uniformly support an independent’ Fed rather than
one beholden directly to either the president or Congress?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.10</b> Identify three functions of the Federal Reserve -of your choice, other than its main role of controlling the Supply of money.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.11</b> How
do each of the following relate to the financial crisis of 2007-2008:
declines in real estate values, subprime mortgage loans, mortgage-backed
securities, AIG.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.12</b> What
is TARP and how was it funded? What is meant by the term “lender oflast
resort” and how does it relate to the financial crisis of 2007-2008?
How do government and Federal Reserve emergency loans relate to the concept of moral hazard?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.13</b> What
are the major categories of firms that make up the U.S. financial
services industry? Are there more or fewer banks today than before the
start of the financial crisis of 2007-2008? Why are the lines between
the categories of financial firms even more blurred than they were
before the crisis? How did the Wall Street Reform and Consumer
Protection Act of 2010 try to address some of the problems that helped
cause the crisis?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>31.14</b> <span class="bold">LAST WORD</span>How
does a debit card differ from a credit card? How does a stored-value
card differ from both? Suppose that a person has a credit card, debit
card, and stored-value card. Create a fictional scenario in which
the person uses all three cards in the same day. Explain the person’s
logic for using one card rather than one of the others for each
transaction. How do Fedwire and ACH transactions differ from credit
card, debit card, and stored-value card transactions?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=31.14&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 31.14 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-14395568115250768932020-01-30T12:38:00.006-05:002020-01-30T12:39:47.396-05:00Economics - McConnell Flynn - 19 edition. Chapter 30. Textbook solutions<b>30.1</b> What
is the role of the Council of Economic Advisers (CEA) as it relates to
fiscal policy? Use an Internet search to find the names and university
affiliations of the present members of the CEA.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.2</b> What
are government’s fiscal policy options for ending severe demand-pull
inflation? Which of these fiscal options do you think might be favored
by a person who wants to preserve the size of government? A person who
thinks the public sector is too large? How does the “ratchet effect”
affect anti-inflationary fiscal policy?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.3</b> (For
students who were assigned Chapter 28) Use the aggregate expenditures
model to show how government fiscal policy could eliminate either a
recessionary expenditure gap or an inflationary expenditure gap (Figure
28.7). Explain how equal-size increases in <span class="italics">G</span> and <span class="italics">T</span> could eliminate a recessionary gap and how equal-size decreases in <span class="italics">G</span> and <span class="italics">T</span> could eliminate an inflationary gap. L01<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.4</b> Some
politicians have suggested that the United States enact a
constitutional amendment requiring that the Federal government balance
its budget annually. Explain why such an amendment, if strictly
enforced, would force the government to enact a contractionary fiscal
policy Whenever the economy experienced a server recession.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.5</b> Briefly
state and evaluate the problem of time lags in enacting and applying
fiscal policy. Explain the idea of a political business cycle. How might
expectations of a near-term policy reversal weaken fiscal policy based
on changes in tax rates? What is the crowding-out effect, and why might
it be relevant to fiscal policy? In view of your answers, explain the
following statement: “Although fiscal policy clearly is useful in
combating the extremes of severe recession and demand-pull inflation, it
is impossible to use fiscal policy to fine-tune the economy to the
full-employment, noninflationary level of real GDP and keep the economy
there indefinitely.”<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.6</b> Explain
how built-in (or automatic) stabilizers work. What are the differences
between proportional, progressive, and regressive tax systems as they
relate to an economy’s built-in stability?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.7</b> Define
the cyclically adjusted budget, explain its significance, and state why
it may differ from the actual budget. Suppose the full-employment,
noninflationary level of real output is GDP<span class="sub">3</span> (not GDP<span class="sub">2</span>) in the economy depicted in Figure 30.3. If the economy is operating at GDP<span class="sub">2</span>, instead of GDP<span class="sub">3</span>,
what is the status of its cyclically adjusted budget? The status of its
current fiscal policy? What change in fiscal policy would you
recommend? How would you accomplish that in terms of the <span class="italics">G</span> and <span class="italics">T</span> lines in the figure?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.8</b> How
do economists distinguish between the absolute and relative sizes of
the public debt? Why is the distinction important? Distinguish between
refinancing the debt and retiring the debt. How does an internally held
public debt differ from an externally held public debt? Contrast the
effects of retiring an internally held debt and retiring an externally
held debt.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.9</b> True or false? If false, explain why.<span class="bold">a.</span> The total public debt is more relevant to an economy than the public debt as a percentage of GDP.<span class="bold">b.</span> An internally held public debt is like a debt of the left hand owed to the right hand.<span class="bold">c.</span> The Federal Reserve and Federal government agencies hold more than three-fourths of the public debt.<span class="bold">d.</span>
The portion of the U.S. debt held by the public (and not by government
entities) was larger as a percentage of GDP in 2009 than it was in 2000.<span class="bold">e.</span> As a percentage of GDP, the total U.S. public debt is the highest such debt among the world’s advanced industrial nations.<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.10</b> Why
might economists be quite concerned if the annual interest payments on
the U.S. public debt sharply increased as a percentage of GDP? L04<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.11</b> Trace
the cause-and-effect chain through which financing and refinancing of
the public debt might affect real interest rates, private investment,
the stock of capital, and economic growth. How might investment in
public capital and complementarities between public capital and private
capital alter the outcome of the cause-effect chain?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />
<b>30.12</b> <span class="bold">LAST WORD</span>
What do economists mean when they say Social Security and Medicare are
“pay-as-you-go” plans? What are the Social Security and Medicare trust
funds, and how long will they have money left in them? What is the key
long-run problem of both Social Security and Medicare? Do you favor
increasing taxes or do you prefer reducing benefits to fix the problem?<br />
<a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=30.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 30.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br />
<br />Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-77955709900685424222020-01-30T12:38:00.003-05:002020-01-30T12:38:19.763-05:00Economics - McConnell Flynn - 19 edition. Chapter 29. Textbook solutions
<b>29.1</b> Why
is the aggregate demand curve downsloping? Specify how your explanation
differs from the explanation for the downsloping demand curve for a
single product. What role does the multiplier play in shifts of the
aggregate demand curve?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.2</b> Distinguish
between “real-balances effect” and “wealth effect,” as the terms are
used in this chapter. How does each relate to the aggregate demand
curve?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.3</b> What
assumptions cause the immediate-short-run aggregate supply curve to be
horizontal? Why is the long-run aggregate supply curve vertical? Explain
the shape of the short-run aggregate supply curve. Why is the short-run
curve relatively flat to the left of the full-employment output and
relatively steep to the right?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.4</b> What
effects would each of the following have on aggregate demand or
aggregate supply, other things equal? In each case, use a diagram to
show the expected effects on the equilibrium price level and the level
of real output, assuming that the price level is flexible both upward
and downward.<span class="bold">a. </span>A widespread fear by consumers of an impending economic depression.<span class="bold">b. </span>A
new national tax on producers based on the value added between the
costs of the inputs and the revenue received from their output.<span class="bold">c. </span>A reduction in interest rates at each price level.<span class="bold">d. </span>A major increase in spending for health care by the Federal government.<span class="bold">e. </span>The general expectation of coming rapid inflation.<span class="bold">f. </span>The complete disintegration of OPEC, causing oil prices to fall by one-half.<span class="bold">g. </span>A 10 percent across-the-board reduction in personal income tax rates.<span class="bold">h. </span>A sizable increase in labor productivity (with no change in nominal wages).<span class="bold">i. </span>A 12 percent increase in nominal wages (with no change in productivity).<span class="bold">j. </span>An increase in exports that exceeds an increase in imports (not due to tariffs).<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.5</b> Assume that (<span class="italics">a</span>) the price level is flexible upward but not downward and (<span class="italics">b</span>)
the economy is currently operating at its full-employment output. Other
things equal, how will each of the following affect the equilibrium
price level and equilibrium level of real output in the short run?<span class="bold">a. </span>An increase in aggregate demand.<span class="bold">b. </span>A decrease in aggregate supply, with no change in aggregate demand.<span class="bold">c. </span>Equal increases in aggregate demand and aggregate supply.<span class="bold">d. </span>A decrease in aggregate demand.<span class="bold">e. </span>An increase in aggregate demand that exceeds an increase in aggregate supply.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.6</b> Explain
how an upsloping aggregate supply curve weakens the realized multiplier
effect from an initial change in investment spending.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.7</b> Why
does a reduction in aggregate demand in the actual economy reduce real
output, rather than the price level? Why might a full-strength
multiplier apply to a decrease in aggregate demand?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.8</b> Explain:
“Unemployment can be caused by a decrease of aggregate demand or a
decrease of aggregate supply.” In each case, specify the price-level
outcomes.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.9</b> Use shifts of the AD and AS curves to explain (<span class="italics">a</span>) the U.S. experience of strong economic growth, full employment, and price stability in the late 1990s and early 2000s and (<span class="italics">b</span>) how
a strong negative wealth effect from, say, a precipitous drop in house
prices could cause a recession even though productivity is surging.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.10</b> In
early 2001 investment spending sharply declined in the United States.
In the two months following the September 11, 2001, attacks on the
United States, consumption also declined. Use AD-AS analysis to show the
two impacts on real GDP.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>29.11</b> <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=29.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 29.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-26860619125075002902020-01-30T12:37:00.008-05:002020-01-30T12:37:59.589-05:00Economics - McConnell Flynn - 19 edition. Chapter 28. Textbook solutions
<b>28.1</b> What is an investment schedule and how does it differ from an investment demand curve?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.2</b> Why does equilibrium real GDP occur where <span class="italics">C</span> + <span class="italics">I</span><span class="italics"><span class="sub">g</span></span> = GDP in a private closed economy? What happens to real GDP when <span class="italics">C</span> =<span class="italics">I</span><span class="italics"><span class="sub">g</span></span> exceeds GDP? When <span class="italics">C</span> = <span class="italics">I</span><span class="italics"><span class="sub">g</span></span> is less than GDP? What two expenditure components of real GDP are purposely excluded in a private closed economy?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.3</b> Why is saving called a <span class="italics">leakage?</span> Why is planned investment called an <span class="italics">injection</span>?
Why must saving equal planned investment at equilibrium GDP in the
private closed economy? Are unplanned changes in inventories rising,
falling, or constant at equilibrium GDP? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.4</b>
Other
things equal, what effect will each of the following changes
independently have on the equilibrium level of real GDP in the private
closed economy?a. A decline in the real interest rate.b. An
overall decrease in the expected rate of return on investment.c. A
sizable, sustained increase in stock prices.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.5</b> Depict
graphically the aggregate expenditures model for a private closed
economy. Now show a decrease in the aggregate expenditures schedule and
explain why the decline in real GDP in your diagram is greater than the
decline in the aggregate expenditures schedule. What is the term used
for the ratio of a decline in real GDP to the initial drop in aggregate
expenditures?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.6</b> Assuming
the economy is operating below its potential output, what is the impact
of an increase in net exports on real GDP? Why is it difficult, if not
impossible, for a country to boost its net exports by increasing its
tariffs during a global recession?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.7</b> Explain
graphically the determination of equilibrium GDP for a private economy
through the aggregate expenditures model. Now add government purchases
(any amount you choose) to your graph, showing its impact on equilibrium
GDP. Finally, add taxation (any amount of lump-sum tax that you choose)
to your graph and show its effect on equilibrium GDP. Looking at your
graph, determine whether equilibrium GDP has increased, decreased, or
stayed the same given the sizes of the government purchases and taxes
that you selected.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.8</b> What
is a recessionary expenditure gap? An inflationary expenditure gap?
Which is associated with a positive GDP gap? A negative GDP gap?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>28.9</b> <span class="bold">LAST WORD</span>
What is Say’s law? How does it relate to the view held by classical
economists that the economy generally will operate at a position on its
production possibilities curve (Chapter 1)? Use production
possibilities analysis to demonstrate Keynes's view on this matter.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=28.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 28.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-68865752382070188162020-01-30T12:37:00.005-05:002020-01-30T12:37:39.034-05:00Economics - McConnell Flynn - 19 edition. Chapter 27. Textbook solutions
<b>27.1</b> What are the variables (the items measured on the axes) in a graph of the (<span class="italics">a</span>) consumption schedule and (<span class="italics">b</span>)
saving schedule? Are the variables inversely (negatively) related or
are they directly (positively) related? What is the fundamental reason
that the levels of consumption and saving in the United States are each
higher today than they were a decade ago?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.2</b> Precisely
how do the MPC and the APC differ? How does the MPC differ from the
MPS? Why must the sum of the MPC and the MPS equal 1?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.3</b> In what direction will each of the following occurrences shift the consumption and saving schedules, other things equal?<span class="bold">a.</span> A large decrease in real estate values, including private homes.<span class="bold">b.</span> A sharp, sustained increase in stock prices.<span class="bold">c.</span> A 5-year increase in the minimum age for collecting Social Security benefits.<span class="bold">d.</span> An economy-wide expectation that a recession is over and that a robust expansion will occur.<span class="bold">e.</span> A substantial increase in household borrowing to finance auto purchases.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.4</b> Why
does a downshift of the Consumption schedule typically involve an equal
upshift of the saving schedule? What is the exception to this
relationship?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.5</b> Why will a reduction in the real interest rate increase investment spending, other things equal?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.6</b> In what direction will each of the following occurrences shift the investment demand curve, other things equal?<span class="bold">a.</span> An increase in unused production capacity occurs.<span class="bold">b.</span> Business taxes decline.<span class="bold">c.</span> The costs of acquiring equipment fall.<span class="bold">d.</span> Widespread pessimism arises about future business conditions and sales revenues.<span class="bold">e.</span> A major new technological breakthrough creates prospects for a wide range of profitable new products.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.7</b> How is it possible for investment spending to increase even in a period in which the real interest rate rises?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.8</b> Why is investment spending unstable?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.9</b> Is
the relationship between changes in spending and changes in real GDP in
the multiplier effect a direct (positive) relationship or is it an
inverse (negative) relationship? How does the size of the multiplier
relate to the size of the MPC? The MPS? What is the logic of the
multiplier-MPC relationship?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.10</b> Why is the actual multiplier in the U.S. economy less than the multiplier in this chapter's example?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>27.11</b> <span class="bold">LAST WORD</span>
What is the central economic idea humorously illustrated in Art
Buchwald's piece, "Squaring the Economic Circle"? How does the central
idea relate to economic recessions, on the one hand, and vigorous
economic expansions, on the other?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=27.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 27.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-9381018038057745862020-01-30T12:37:00.002-05:002020-01-30T12:37:19.272-05:00Economics - McConnell Flynn - 19 edition. Chapter 26. Textbook solutions
<b>26.1</b> What
are the four phases of the business cycle? How long do business cycles
last? Why does the business cycle affect output and employment in
capital goods industries and consumer durable goods industries more
severely than in industries producing consumer nondurables?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.2</b> How, in general, can a financial crisis lead to a recession? How, in general, can a major new invention lead to an expansion?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.3</b> How
is the labor force defined and who measures it? How is the unemployment
rate calculated? Does an increase in the unemployment rate necessarily
mean a decline in the size of the labor force? Why is a positive
unemployment rate—one more than zero percent—fully compatible with full
employment?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.4</b> How,
in general, do unemployment rates vary by race and ethnicity, gender,
occupation, and education? Why does the average length of time people
are unemployed rise during a recession?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.5</b> Why
is it difficult to distinguish between frictional, structural, and
cyclical unemployment? Why is unemployment an economic problem? What are
the consequences of a negative GDP gap? What are the noneconomic
effects of unemployment?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.6</b> Because
the United States has an unemployment compensation program that
provides income for those out of work, why should we worry about
unemployment?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.7</b> What
is the Consumer Price Index (CPI) and how is it determined each month?
How does the Bureau of Labor Statistics calculate the rate of inflation
from one year to the next? What, effect does inflation have on the
purchasing power of a dollar? How does it explain differences between
nominal and real interest rates? How does deflation differ from
inflation?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.8</b> Distinguish
between demand-pull inflation and cost-push inflation. Which of the two
types is most likely to be associated with a negative GDP gap? Which
with a positive GDP gap, in which actual GDP exceeds potential GDP? What
is core inflation? Why is it calculated?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.9</b> Explain
how an increase in your nominal income and a decrease in your real
income might occur simultaneously. Who loses from inflation? Who gains?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.10</b> Explain how hyperinflation might lead to a severe decline in total output.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>26.11</b> <span class="bold">LAST WORD</span>
Suppose that stock prices were to fall by 10 percent in the stock
market. All else equal, would the lower stock prices be likely to cause a
recession? How might lower stock prices help predict a recession?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=26.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 26.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-14652894437201834592020-01-30T12:36:00.008-05:002020-01-30T12:36:59.452-05:00Economics - McConnell Flynn - 19 edition. Chapter 25. Textbook solutions
<b>25.1</b> How
is economic growth measured? Why is economic growth important? Why
could the difference between a 2.5 percent and a 3 percent annual growth
rate be of great significance over several decades?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.2</b> When
and where did modern economic growth first happen? What are the major
institutional factors that form the foundation for modern economic
growth? What do they have in common?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.3</b> Why
are some countries today much poorer than other countries? Are today's
poor countries destined to always be poorer than today's rich countries?
If so, explain why. If not explain how today's poor countries can catch
or even pass today's rich countries.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.4</b> What
are the four supply factors of economic growth? What is the demand
factor? What is the efficiency factor? Illustrate these factors in terms
of the production possibilities curve.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.5</b> Suppose
that Alpha and Omega have identically sized working-age populations but
that total annual hours of work are much greater in Alpha than in
Omega. Provide two possible reasons for this difference.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.6</b> What
is growth accounting? To what extent have increases in U.S. real GDP
resulted from more labor inputs? From greater labor productivity?
Rearrange the following contributors to the growth of productivity in order
of their quantitative importance: economies of scale, quantity
capital, improved resource allocation, education and training, and
technological advance.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.7</b> True or false? If false, explain why.<span class="bold">a</span>.
Technological advance, which to date has played a relatively small role
in U.S. economic growth, is destined to play a more important role in
the future.<span class="bold">b.</span> Many public capital goods are complementary to private capital goods.<span class="bold">c.</span> Immigration has slowed economic growth in the United States.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.8</b> Explain
why there is such a close relationship between changes in a nation's
rate of productivity growth and changes in its average real hourly
wage.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.9</b> Relate each of the following to the recent increase in the trend rate of productivity growth:<span class="bold">a</span>. Information technology.<span class="bold">b</span>. Increasing returns.<span class="bold">c</span>. Network effects.<span class="bold">d</span>. Global competition.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.10</b> What, if any, are the benefits and costs of economic growth, particularly as measured by real GDP per capita?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>25.11</b> <span class="bold">LAST</span> <span class="bold">WORD</span>
Based on the information in this chapter, contrast the economic growth
rates of the United States and China over the last 25 years. How does
the real GDP per capita of China compare with that if the United States?
Why is there such a huge disparity of per capita income between China’s
coastal cities and its interior regions?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=25.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 25.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-2663000494777144522020-01-30T12:36:00.005-05:002020-01-30T12:36:38.773-05:00Economics - McConnell Flynn - 19 edition. Chapter 24. Textbook solutions
<b>24.1</b> In what ways are national-income statistics useful?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.2</b> Why
do national income accountants compare the market value of the total
outputs in various years rather than actual physical volumes of
production? What problem is posed by any comparison over time of the
market values of various total outputs? How is this problem resolved?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.3</b> Which
of the following goods are usually intermediate goods and which are
usually final goods: running shoes; cotton fibers; watches;
textbooks; coal; sunscreen lotion; lumber?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.4</b> Why
do economists include only final goods and services in measuring GDP
for a particular year? Why don’t they include the value of the stocks
and bonds bought and sold? Why don’t they include the value of the used
furniture bought and sold?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.5</b> Explain why an economy’s output, in essence, is also its income.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.6</b> Provide three examples of each: consumer durable; goods, consumer nondurable goods, and services.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.7</b> Why
are changes in inventories included as part of investment spending?
Suppose inventories declined by $1 billion during 2010. How would this
affect the size of gross private domestic investment and gross domestic
product in 2010? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.8</b> What
is the difference between gross private domestic investment and net
private domestic investment? If you were to determine net domestic
product (NDP) through the expenditures approach, which of these two
measures of investment spending would be appropriate? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.9</b> Use
the concepts of gross investment and net investment to distinguish
between an economy that has a rising stock of capital and one that has a
falling stock of capital. Explain: “Though net investment can be
positive, negative, or zero, it is impossible for gross investment to be
less than zero.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.10</b> Define
net exports. Explain how U.S. exports and imports each affect domestic
production. How are net exports determined? Explain how net exports
might be a negative amount.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.11</b> Contrast
the ideas of nominal GDP and real GDP. Why is one more reliable than
the other for comparing changes in the standard of living over a series
of years? What is the GDP price index and what is its role in
differentiating nominal GDP and real GDP?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.12</b> Which of the following are included or excluded in this year's GDP? Explain your answer in each case.<span class="bold">a.</span> Interest received on an AT&T corporate bond.<span class="bold">b.</span> Social Security payments received by a retired factory worker.<span class="bold">c.</span> Unpaid services of a family member in painting the family home.<span class="bold">d.</span> Income of a dentist from the dental services provided.<span class="bold">e.</span> A monthly allowance a college student receives from home.<span class="bold">f.</span> Money received by Josh when he resells his nearly brand-new Honda automobile to Kim.<span class="bold">g.</span> The publication and sale of a new college textbook.<span class="bold">h.</span> An increase in leisure resulting from a 2-hour decrease in the length of the workweek, with no reduction in pay.<span class="bold">i.</span> A $2 billion increase in business inventories.<span class="bold">j.</span> The purchase of 100 shares of Google common stock.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>24.13</b> <span class="bold">LAST WORD</span>
What government agency compiles the U.S. NIPA tables? In what U.S.
department is it located? Of the several specific sources of
information, name one source for each of the four components of GDP:
consumption, investment, government purchases, and net exports.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=24.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 24.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-46611161169085551272020-01-30T12:36:00.002-05:002020-01-30T12:36:18.752-05:00Economics - McConnell Flynn - 19 edition. Chapter 23. Textbook solutions
<b>23.1</b> Draw
a graph with “Level of real output” on the vertical axis and “Time” on
the horizontal axis. If the long-run trend line of economic growth for
the United States were to appear on your graph as a straight upsloping
line, how would you pencil in economic fluctuations in relation to that
straight line? Referring to your graph, briefly explain why economic
fluctuations and economic growth are compatible concepts. Check your
drawing against Figure 26.1, page 527.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.2</b> Why
do you think macroeconomists focus on just a few key statistics when
trying to understand the health and trajectory of an economy? Would it
be better to try to examine all possible data?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.3</b> Consider
a nation in which the volume of goods and services is growing by 5
percent per year. What is the likely impact of this high rate of growth
on the power and influence of its government relative to other countries
experiencing slower rates of growth? What about the effect of this 5
percent growth on the nation's living standards? Will these also
necessarily grow by 5 percent per year, given population growth? Why or
why not?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.4</b> Did
economic output start growing faster than population from the beginning
of the human inhabitation of the earth? When did modern economic growth
begin? Have all of the world’s nations experienced the same extent of
modern economic growth?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.5</b> Why
is there a trade-off between the amount of consumption that people can
enjoy today and the amount of consumption that they can enjoy in the
future? Why can’t people enjoy more of both? How does saving relate to
investment and thus to economic growth? What role do banks and other
financial institutions play in aiding the growth process?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.6</b> How
does investment as defined by economists differ from investment as
defined by the general public? What would happen to the amount of
economic investment made today if firms expected the future returns to
such investment to be very low? What if firms expected future returns to
be very high?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.7</b> Why, in general, do shocks force people to make changes? Give at least two examples from your own experience.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.8</b> Catalog
companies are committed to selling at the prices printed in their
catalogs. If a catalog company finds its inventory of sweaters rising,
what does that tell you about the demand for sweaters? Was it
unexpectedly high, unexpectedly low, or as expected? If the company
could change the price of sweaters, would it raise the price, lower the
price, or keep the price the same? Given that the company cannot change
the price of sweaters, consider the number of sweaters it orders each
month from the company that makes its sweaters. If inventories become
very high, will the catalog company increase, decrease, or keep orders
the same? Given what the catalog company does with its orders, what is
likely to happen to employment and output at the sweater manufacturer?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>23.9</b> <span class="bold">LAST WORD</span>
Why do some economists believe that better inventory control software
and systems may help to reduce the frequency and severity of recessions
caused by mild demand shocks? How could those same inventory systems
quickly transmit large demand shocks directly to sudden, deep
recessions?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=23.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 23.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-73650028395514849402020-01-30T12:35:00.007-05:002020-01-30T12:35:55.033-05:00Economics - McConnell Flynn - 19 edition. Chapter 22. Textbook solutions
<b>22.1</b> Which of the following statements are true? Which are false? Explain why the false statements are untrue.<span class="bold">a.</span> More immigrants arrive to the United States each year illegally than legally.<span class="bold">b</span>. The majority of legal immigrants are men.<span class="bold">c</span>. Over half the new legal immigrants to the United States each year are from Mexico.<span class="bold">d</span>. Most legal immigrants to the United States gain their legal status through employment-based preferences.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.2</b> In
what respect is the economic decision to move across international
borders an investment decision? Why do economic migrants move to some
countries, but not to others? Cite an example of an explicit cost of
moving; an implicit cost of moving. How do distance and age affect the
migration decision? How does the presence of a large number of previous
movers to a country affect the projected costs and benefits of
subsequent movers?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.3</b> Suppose
that the projected lifetime earnings gains from migration exceed the
costs of moving. Explain how the decision to move might be reversed when
a person considers present value.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.4</b>
Use
the accompanying tables for Neon and Zeon to answer the questions that
follow. Assume that the wage rate shown equals hourly output and income,
and that the accumulated output and income are the sum of the marginal
revenue products (MRPs) of each worker....a. Which country has the
greater stock of capital and technological prowess? How can you tell?<br />b.
Suppose the equilibrium wage rate is $19 in Neon and $7 in Zeon. What
is the domestic output (= domestic income) in the two countries?<br />c.
Assuming zero migration costs and initial wage rates of $19 in Neon and
$7 in Zeon, how many workers will move to Neon? Why will not more than
that number of workers move to Neon?d. After the move of workers,
what will the equilibrium wage rate be in each country? What will the
domestic output be after the migration? What is the amount of the
combined gain in domestic output produced by the migration? Which
country will gain output; which will lose output? How will the income of
native-born workers be affected in each country?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.5</b> How might the output and income gains from immigration shown by the simple immigration model be affected by (<span class="italics">a</span>) unemployment in the originating nation, (<span class="italics">b</span>) remittances by immigrants to the home country, and (<span class="italics">c</span>) backflows of migrants to the home country?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.6</b> Suppose
initially that immigrant labor and native-born labor are complementary
resources. Explain how a substantial immigration might change the demand
for native-born workers, altering their wages. (Review the relevant
portion of Chapter 12 if necessary to help answer this question.) Next,
suppose that new immigrant labor and previous immigrant labor (not
native-born) are substitute resources. Explain how a substantial
immigration of new workers might affect the demand for previous
immigrants, altering their wages.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.7</b> What
is a “brain drain” as it relates to international migration? If
emigrants are highly educated and received greatly subsidized education
in the home country, is there any justification for that country to levy
a “brain drain” tax on them? Do you see any problems with this idea?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.8</b> In July 2007 <span class="italics">The Wall Street Journal (WSJ)</span>
reported that a growing shortage of skilled labor in Eastern European
countries such as Slovakia was driving up wages in key industries and
reducing business income. The reason for the shortages was a large
migration of skilled Eastern European workers to Western European
countries. Use the simple immigration model to demonstrate the key
elements of the <span class="italics">WSF</span> story as just described.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.9</b> Why is each of these statements somewhat misleading? (<span class="italics">a</span>) “Illegal immigrants take only jobs that no American wants."(<span class="italics">b</span>) “Deporting 100,000 illegal immigrants would create 100,000 job openings for Americans.”<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.10</b> Why
are so many state and local governments greatly concerned about the
Federal government's allegedly lax enforcement of the immigration laws
and congressional proposals to grant legal status (amnesty) to the 11
million illegal immigrants in the United States? How might an amnesty
program affect the flow of future border crossings?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.11</b> If
someone favors the free movement of labor within the United States, is
it inconsistent for that person to also favor restrictions on the
international movement of labor? Why or why not?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>22.12</b> <span class="bold">LAST WORD</span>
What were the five main features of the proposed immigration reform of
2007? Which of these features, as general principles, do you support?
Which do you oppose? Explain your reasoning.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=22.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 22.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-60433539613239714122020-01-30T12:35:00.004-05:002020-01-30T12:35:35.616-05:00Economics - McConnell Flynn - 19 edition. Chapter 21. Textbook solutions
<b>21.1</b> Why
would increased spending as a percentage of GDP on, say, household
appliances or education in a particular economy be regarded as
economically desirable? Why, then, is there so much concern about rising
expenditures as a percentage of GDP on health care?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.2</b> What are the "twin problems" of the health care industry as viewed by society? How are they related?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.3</b> Briefly describe the main features of Medicare and Medicaid, indicating how each is financed<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.4</b> What are the implications of rapidly rising health care prices and spending for (<span class="italics">a</span>) the growth of real wage rates, (<span class="italics">b</span>) government budgets, and (<span class="italics">c</span>) offshoring of U.S. jobs? Explain<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.5</b> What are the main groups without health insurance?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.6</b> List the special characteristics of the U.S. health care market and specify how each affects health care problems.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.7</b> What
are the estimated income and price elasticities of demand for health
care? How does each relate to rising health care costs?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.8</b> Briefly discuss the demand and supply factors that contribute to rising health costs. Specify how (<span class="italics">a</span>) asymmetric information, (<span class="italics">b</span>) fee-for-service payments, (<span class="italics">c</span>) defensive medicine, and (<span class="italics">d</span>) medical ethics might cause health care costs to rise.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.9</b> How do advances in medical technology and health insurance interact to drive up the cost of medical care?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.10</b> Using
the concepts in Chapter 6's discussion of consumer behavior, explain
how health care insurance results in an overallocation of resources to
the health care industry. Use a demand and supply diagram to specify the
resulting efficiency loss.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.11</b> How is the moral hazard problem relevant to the health care market?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.12</b> What
is the rationale for exempting a firm's contribution to its workers'
health insurance from taxation as worker income? What is the impact of
this exemption on allocative efficiency in the health care industry?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.13</b> What are (<span class="italics">a</span>) preferred provider organizations and (<span class="italics">b</span>) health maintenance organizations? In your answer, explain how each is designed to alleviate the overconsumption of healthcare.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.14</b> What
are health savings accounts (HSAs)? How might they reduce the
overconsumption of health care resulting from traditional insurance? How
might they introduce an element of price competition into the health
care system?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.14&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.14 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.15</b> Why
is the PPACAs attempt to extend insurance coverage to all Americans so
costly? How does the PPACA attempt to obtain the funds needed to extend
insurance coverage to all Americans?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.15&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.15 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.16</b> How does the PPACA attempt to ensure affordable insurance for the poor?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.16&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.16 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.17</b> What were the objections made by opponents of the PPACA?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.17&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.17 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>21.18</b> <span class="bold">LAST WORD</span>
What are the three major cost-reducing features of the Singapore health
care system? Which one do you think has the largest effect on holding
down the price of medical care in Singapore? What element of the
Singapore system is shared by the Whole Foods and State of Indian
systems? What elements are missing? How difficult do you think it would
be to implement those missing elements in the United States? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=21.18&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 21.18 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-35034146138723258242020-01-30T12:35:00.001-05:002020-01-30T12:35:14.573-05:00Economics - McConnell Flynn - 19 edition. Chapter 20. Textbook solutions
<b>20.1</b> Use
quintiles to briefly summarize the degree of income inequality in the
United States. How and to what extent does government reduce income
inequality?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.2</b> Assume
that Al, Beth, Carol, David, and Ed receive incomes of $500, $250,
$125, $75, and $50, respectively. Construct and interpret a Lorenz curve
for this five-person economy. What percentage of total income is
received by the richest quintile and by the poorest quintile?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.3</b> How
does the Gini ratio relate to the Lorenz curve? Why can't the Gini
ratio exceed 1? What is implied about the direction of income inequality
if the Gini ratio declines from 0.42 to 0.35? How would one show that
change of inequality in the Lorenz diagram?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.4</b> Why is the lifetime distribution of income more equal than the distribution in any specific year?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.5</b> Briefly
discuss the major causes of income inequality. With respect to income
inequality, is there any difference between inheriting property and
inheriting a high IQ? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.6</b> What factors have contributed to increased income inequality since 1970?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.7</b> Should
a nation’s income be distributed to its members according to their
contributions to the production of that total income or according to the
members’ needs? Should society attempt to equalize income or economic
opportunities? Are the issues of equity and equality in the distribution
of income synonymous? To what degree, if any, is income inequality
equitable?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.8</b> Do
you agree or disagree? Explain your reasoning. "There need be no
trade-off between equality and efficiency. An 'efficient' economy that
yields an income distribution that many regard as unfair may cause those
with meager incomes to become discouraged and stop trying. So
efficiency may be undermined. A fairer distribution of rewards may
generate a higher average productive effort on the part of the
population, thereby enhancing efficiency. If people think they are
playing a fair economic game and this belief causes them to try harder,
an economy with an equitable income distribution may be efficient as
well"<span class="sup">6</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.9</b> Comment on or explain: L04<span class="bold">a.</span> Endowing everyone with equal income will make for very unequal enjoyment and satisfaction.<span class="bold">b.</span> Equality is a "superior good"; the richer we become, the more of it we can afford.<span class="bold">c.</span> The mob goes in search of bread, and the means it employs is generally to wreck the bakeries.<span class="bold">d.</span> Some freedoms may be more important in the long run than freedom from want on the part of every individual.<span class="bold">e.</span>
Capitalism and democracy are really a most improbable mixture. Maybe
that is why they need each other—to put some rationality into equality
and some humanity into efficiency.<span class="bold">f.</span>
The incentives created by the attempt to bring about a more equal
distribution of income are in conflict with the incentives needed to
generate increased income<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.10</b> How
do government statisticians determine the poverty rate? How could the
poverty rate fall while the number of people in poverty rises? Which
group in each of the following pairs has the higher poverty rate: (<span class="italics">a</span>) children or people age 65 or over? (<span class="italics">b</span>) African Americans or foreign-bora noncitizens? (<span class="italics">c</span>) Asians or Hispanics?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.11</b> What
are the essential differences between social insurance and public
assistance programs? Why is Medicare a social insurance program, whereas
Medicaid is a public assistance program? Why is the earned-income tax
credit considered to be a public assistance program?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.12</b>
The
labor demand and supply data in the following table relate to a single
occupation. Use them to answer the questions that follow. Base your
answers on the taste‐for‐discrimination model....a. Plot the labor
demand and supply curves for Hispanic workers in this occupation.<br />b. What are the equilibrium Hispanic wage rate and quantity of Hispanic employment?<br />c. Suppose the white wage rate in this occupation is $16. What is the Hispanic‐to-white wage ratio?<br />d. Suppose a particular employer has a discrimination coefficient <span class="italics">d</span> of $5 per hour. Will that employer hire Hispanic or white workers at the Hispanic‐white wage ratio indicated in part <span class="italics">c</span> ? Explain.<br />e.
Suppose employers as a group become less prejudiced against Hispanics
and demand 14 more units of Hispanic labor at each Hispanic wage rate in
the table. What are the new equilibrium Hispanic wage rate and level of
Hispanic employment? Does the Hispanic‐white wage ratio rise or fall?
Explain.<br /><br />f. Suppose Hispanics as a group increase their labor
services in that occupation, collectively offering 14 more units of
labor at each Hispanic wage rate. Disregarding the changes indicated in
part <span class="italics">e</span> , what are the new equilibrium
Hispanic wage rate and level of Hispanic employment? Does the
Hispanic‐white wage ratio rise, or does it fall?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.13</b> Males
under the age of 25 must pay far higher auto insurance premiums than
females in this age group. How does this fact relate to statistical
discrimination? Statistical di: crimination implies that discrimination
can persist indefinitely, while the taste-for-discrimination model
suggest that competition might reduce discrimination in the long
run. Explain the difference.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.14</b> Use
a demand-and-supply model to explain the impact of occupational
segregation or "crowding" on the relative wage rates and earnings of men
and women. Who gains and who loses from the elimination of occupational
segregation? Is there a net gain or a net loss to society? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.14&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.14 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>20.15</b> <span class="bold">LAST WORD</span>
Go to Table 1 in the Last Word and compute the ratio of average wealth
to median wealth for each of the 5 years. What trend do you find? What
is your explanation for the trend? The Federal estate tax redistributes
wealth in! two ways: by encouraging charitable giving, which reduces the
taxable estate, and by heavily taxing extraordinarily large estates and
using the proceeds to fund government programs. Do you favor repealing
the estate tax? Explain<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=20.15&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 20.15 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-75013065730553017792020-01-30T12:34:00.006-05:002020-01-30T12:34:45.765-05:00Economics - McConnell Flynn - 19 edition. Chapter 19. Textbook solutions
<b>19.1</b> Carefully
evaluate: “The supply and demand for agricultural products are such
that small changes in agricultural supply result in drastic changes in
prices. However, large changes in agricultural prices have modest
effects on agricultural output.” (Hint: A brief review of the
distinction between <span class="italics">supply</span> and <span class="italics">quantity supplied</span> may be helpful.) Do exports increase or reduce the instability of demand for farm products? Explain.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.2</b> What
relationship, if any, can you detect between the facts that farmers'
fixed costs of production are large and the supply of most agricultural
products is generally inelastic? Be specific in your answer.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.3</b> Explain how each of the following contributes to the farm problem:<span class="bold">a.</span> The inelasticity of demand for farm products.<span class="bold">b.</span> The rapid technological progress in farming.<span class="bold">c.</span> The modest long-run growth in demand for farm commodities.<span class="bold">d.</span> The volatility of export demand.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.4</b> The
key to efficient resource allocation is shifting resources from
low-productivity to high-productivity uses. In view of the high and
expanding physical productivity of agricultural resources, explain why
many economists want to divert additional resources away from farming in
order to achieve allocative efficiency.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.5</b>
Explain
and evaluate: “Industry complains of the higher taxes it must pay to
finance subsidies to agriculture. Yet the trend of agricultural prices
has been downward, while industrial prices have been moving upward,
suggesting that on balance agriculture is actually subsidizing
industry.”<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.6</b> “Because
consumers as a group must ultimately pay the total income received by
farmers, it makes no real difference whether the income is paid through
free farm markets or through price supports supplemented by subsidies
financed out of tax revenue.” Do you agree?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.7</b> If
in a given year the indexes of prices received and paid by farmers were
120 and 165, respectively, what would the parity ratio be? Explain the
meaning of that ratio.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.8</b> Explain
the economic effects of price supports. Explicitly include
environmental and global impacts in your answer. On what grounds do
economists contend that price supports cause a misallocation of
resources?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.9</b> Use
supply and demand curves to depict equilibrium price and output in a
competitive market for some farm product. Then show how an
above-equilibrium price floor (price support) would cause a surplus in
this market. Demonstrate in your graph how government could reduce the
surplus through a policy that (<span class="italics">a</span>) changes supply or (<span class="italics">b</span>)
changes demand. Identify each of the following actual government
policies as primarily affecting the supply of or the demand for a
particular farm product: acreage allotments, the food-stamp program, the
Food for Peace program, a government buyout of dairy herds, and export
promotion.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.10</b> Do you agree with each of the following statements? Explain why or why not.<span class="bold">a.</span>
The problem with U.S. agriculture is that there are too many farmers.
That is not the fault of farmers but the fault of government programs.<span class="bold">b.</span> The Federal government ought to buy up all U.S. farm surpluses and give them away to developing nations.<span class="bold">c.</span>
All industries would like government price supports if they could get
them; agriculture has obtained price supports only because of its strong
political clout.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.11</b> What are the effects of farm subsidies such as those of the United States and the European Union on (<span class="italics">a</span>) domestic agricultural prices, (<span class="italics">b</span>) world agricultural prices, and (<span class="italics">c</span>) the international allocation of agricultural resources?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.12</b> Use
public choice theory to explain the persistence of farm subsidies in
the face of major criticisms of those subsidies. If the special-interest
effect is so strong, what factors made it possible in 1996 for the
government to end price supports and acreage allotments for several
crops?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.13</b> What
was the major intent of the Freedom to Farm Act of 1996? Do you agree
with the intent? Why or why not? Did the law succeed in reducing overall
farm subsidies? Why or why not?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.14</b> Distinguish
the major features of direct subsidies, countercyclical payments, and
marketing loan subsidies under the Food, Conservation, and Energy Act of
2008. In what way do countercyclical payments and marketing loans help
reduce the volatility of farm income? In what way do direct subsidies
perpetuate the long-run farm problem of too many resources in
agriculture?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.14&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.14 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>19.15</b> <span class="bold">LAST WORD</span> What groups benefit and what groups lose from the U.S. sugar subsidy program<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=19.15&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 19.15 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-13494367530432879962020-01-30T12:34:00.003-05:002020-01-30T12:34:21.509-05:00Economics - McConnell Flynn - 19 edition. Chapter 18. Textbook solutions
<b>18.1</b> Both
antitrust policy and industrial regulation deal with monopoly. What
distinguishes the two approaches? How does government decide to use one
form of remedy rather than the other?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.2</b> Describe
the major provisions of the Sherman and Clayton acts. What government
entities are responsible for enforcing those laws? Are firms permitted
to initiate antitrust suits on their own against other firms?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.3</b> Contrast
the outcomes of the Standard Oil and U.S. Steel cases. What was the
main antitrust issue in the DuPont cellophane case? In what major way do
the Microsoft and Standard Oil cases differ?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.4</b> Why
might one administration interpret and enforce the antitrust laws more
strictly than another? How might a change of administrations affect a
major monopoly case in progress?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.5</b> How would you expect antitrust authorities to react to:<span class="bold">a.</span> A proposed merger of Ford and General Motors.<span class="bold">b.</span> Evidence of secret meetings by contractors to rig bids for highway construction projects.<span class="bold">c.</span> A proposed merger of a large shoe manufacturer and a chain of retail shoe stores.<span class="bold">d.</span> A proposed merger of a small life-insurance company and a regional candy manufacturer.<span class="bold">e.</span> An automobile rental firm that charges higher rates for last-minute rentals than for rentals reserved weeks in advance.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.6</b> Suppose
a proposed merger of firms would simultaneously lessen competition and
reduce unit costs through economies of scale. Do you think such a merger
should be allowed?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.7</b> In
the 1980s, PepsiCo Inc., which then had 28 percent of the soft-drink
market, proposed to acquire the Seven-Up Company. Shortly thereafter,
the Coca-Cola Company, with 39 percent of the market, indicated it
wanted to acquire the Dr Pepper Company. Seven-Up and Dr Pepper each
controlled about 7 percent of the market. In your judgment, was the
government’s decision to block these mergers appropriate?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.8</b> Why
might a firm charged with violating the Clayton Act, Section 7, try
arguing that the products sold by the merged firms are in separate
markets? Why might a firm charged with violating Section 2 of the
Sherman Act try convincing the court that none of its behavior in
achieving and maintaining its monopoly was illegal?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.9</b> “The
social desirability of any particular firm should be judged not on the
basis of its market share but on the basis of its conduct and
performance.” Make a counterargument, referring to the monopoly model in
your statement<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.10</b> What
types of industries, if any, should be subjected to industrial
regulation? What specific problems does industrial regulation entail?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.11</b> In
view of the problems involved in regulating natural Monopolies, compare
socially optimal (marginal-cost) pricing and fair-return pricing by
referring again to Figure 10.9. Assuming that a government subsidy might
be used to cover any loss resulting from marginal-cost pricing, which
pricing policy would you favor? Why? What problems might such a subsidy
entail?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.12</b> How
does social regulation differ from industrial regulation? What types of
benefits and costs are associated with social regulation?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.13</b> Use
economic analysis to explain why the optimal amount of product safety
may be less than the amount that would totally eliminate risks of
accidents and deaths. Use automobiles as an example.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.13&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.13 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>18.14</b> <span class="bold">LAST WORD</span>
Under what law and on what basis did the Federal district court find
Microsoft guilty of violating the antitrust laws? What was the initial
district court’s remedy? How did Microsoft fare with its appeal to the
court of appeals? Was the final remedy in the case a structural remedy
or a behavioral remedy?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=18.14&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 18.14 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-70823182472156973902020-01-30T12:34:00.000-05:002020-01-30T12:34:00.309-05:00Economics - McConnell Flynn - 19 edition. Chapter 17. Textbook solutions
<b>17.1</b> Because
medical records are private, an individual applying for health
insurance will know more about his own health conditions than will the
insurance companies to which he is applying for coverage. Is this likely
to increase or decrease the insurance premium that he will be offered?
Why? <span class="bold">L01</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.2</b> Why
is it in the interest of new homebuyers and builders of new homes to
have government building codes and building inspectors? <span class="bold">L01</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.3</b> Place
an “M” beside the items in the following list that describe a moral
hazard problem and an “A” beside those that describe an adverse
selection problem. <span class="bold">L01</span><span class="bold">a.</span> A person with a terminal illness buys several life insurance policies through the mail.<span class="bold">b.</span> A person drives carelessly because she has automobile insurance.<span class="bold">c.</span> A person who intends to torch his warehouse takes out a large fire insurance policy.<span class="bold">d.</span> A professional athlete who has a guaranteed contract fails to stay in shape during the off-season.<span class="bold">e.</span> A woman who anticipates having a large family takes a job with a firm that offers exceptional childcare benefits.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.4</b>
Explain
how affirmative and negative majority votes can sometimes lead to
inefficient allocations of resources to public goods. Is this problem
likely to be greater under a benefits-received or an ability-to-pay tax
system? Use the information in Figures 17.1a and 17.1b to show how
society might be better off if Adams were allowed to buy votes. LO2
Reference Figures 17.1a and 17.1b ... <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.5</b> Explain
the paradox of voting through reference to the accompanying table,
which shows the ranking of three public goods by voters Jay, Dave, and
Conan:...<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.6</b> Suppose
there are only five people in a society and each favors one of the five
highway construction options listed in Table 5.4 (“No new construction”
is one of the five options). Explain which of these highway options
will be selected using a majority paired-choice vote. Will this option
be the optimal size of the project from an economic perspective? LO2 Reference Table 5.4 ... <br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.7</b> Jean-Baptiste
Colbert was the Minster of Finance under King Louis XIV of France. He
famously observed, “The art of taxation consists in so plucking the
goose as to obtain the largest possible amount of feathers with the
smallest possible amount of hissing.” How does his comment relate to
special interests and the collective-action problem? <span class="bold">L03</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.8</b> What
is rent seeking and how does it differ from the kinds of profit
maximization and profit seeking that we discussed in previous chapters?
Provide an actual or hypothetical example of rent seeking by firms in an
industry. By a union. By a professional association (for example,
physicians, school teachers, or lawyers). Why do elected officials often
accommodate rent-seeking behavior, particularly by firms, unions, and
professional groups located in their home states? <span class="bold">L03</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.9</b> How
does the problem of limited and bundled choice in the public sector
relate to economic efficiency? Why are public bureaucracies possibly
less efficient than business firms? <span class="bold">L03</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.10</b> Explain: “Politicians would make more rational economic decisions if they weren’t running for reelection every few years.” <span class="bold">L03</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>17.11</b> <span class="bold">LAST WORD</span> How do the concepts of pork-barrel politics and logrolling relate to the items in the Last Word?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=17.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 17.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-29627643358677102302020-01-30T12:33:00.005-05:002020-01-30T12:33:37.369-05:00Economics - McConnell Flynn - 19 edition. Chapter 16. Textbook solutions
<b>16.1</b> Use
a circular flow diagram to show how the allocation of resources and the
distribution of income are affected by each of the following government
actions. <span class="bold">L01</span><span class="bold">a.</span> The construction of a new high school.<span class="bold">b.</span> A 2-percentage-point reduction of the corporate income tax.<span class="bold">c.</span> An expansion of preschool programs for disadvantaged children.<span class="bold">d.</span> The levying of an excise tax on polluters.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.2</b> What
do economists mean when they say government purchases are “exhaustive”
expenditures whereas government transfer payments are “nonexhaustive”
expenditures? Cite an example of a government purchase and a government
transfer payment. <span class="bold">L01</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.3</b> What
is the most important source of revenue and the major type of
expenditure at the Federal level? At the state level? At the local
level? <span class="bold">L01</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.4</b> Distinguish
between the benefits-received and the ability-to-pay principles of
taxation. Which philosophy is more evident in our present tax structure?
Justify your answer. To which principle of taxation do you subscribe?
Why? <span class="bold">L02</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.5</b> What
is meant by a progressive tax? A regressive tax? A proportional tax?
Comment on the progressivity or regressivity of each of the following
taxes, indicating in each case where you think the tax incidence lies: (<span class="italics">a</span>) the Federal personal income tax, (<span class="italics">b</span>) a 4 percent state general sales tax, (<span class="italics">c</span>) a Federal excise tax on automobile tires, (<span class="italics">d</span>) a municipal property tax on real estate, (<span class="italics">e</span>) the Federal corporate income tax, (f) the portion of the payroll tax levied on employers. <span class="bold">LO3</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.6</b> What
is the tax incidence of an excise tax when demand is highly inelastic?
Highly elastic? What effect does the elasticity of supply have on the
incidence of an excise tax? What is the efficiency loss of a tax, and
how does it relate to elasticity of demand and supply? <span class="bold">L03</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.7</b> Given the inelasticity of cigarette demand, discuss an excise tax on cigarettes in terms of efficiency loss and tax incidence. <span class="bold">LO3</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.8</b> <span class="bold">ADVANCED ANALYSIS</span> Suppose the equation for the demand curve for some product X is <span class="italics">P</span> = 8 –.6<span class="italics">Q</span> and the supply curve is <span class="italics">P</span> = 2 + .4<span class="italics">Q</span>. What are the equilibrium price and quantity? Now suppose an excise tax is imposed on X such that the new supply equation is <span class="italics">P</span> = 4 + .4<span class="italics">Q</span>.
How much tax revenue will this excise tax yield the government? Graph
the curves, and label the area of the graph that represents the tax
collection “TC” and the area that represents the efficiency loss of the
tax “EL.” Briefly explain why area EL is the efficiency loss of the tax
but TC is not. <span class="bold">LO3</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.9</b> Is
it possible for a country with a regressive tax system to have a
tax-spending system that transfers resources from the rich to the poor? <span class="bold">L04</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>16.10</b> <span class="bold">LAST WORD</span>
Does a progressive tax system by itself guarantee that resources will
be redistributed from the rich to the poor? Explain. Is the <span class="italics">tax</span> system in the United States progressive, regressive, or proportional? Does the <span class="italics">tax-spending</span> system in the United States redistribute resources from higher-income earners to lower-income earners?<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=16.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 16.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.comtag:blogger.com,1999:blog-7694190344553011537.post-32173379787099827892020-01-30T12:33:00.001-05:002020-01-30T12:33:12.091-05:00Economics - McConnell Flynn - 19 edition. Chapter 15. Textbook solutions
<b>15.1</b> Describe
Thomas Malthus’s theory of human reproduction. Does it make sense for
some species—say, bacteria or rabbits? What do you think makes humans
different? <span class="bold">LO1</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.1&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.1 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.2</b> Demographers
have been surprised that total fertility rates have fallen below 2.0,
especially because most people in most countries tell pollsters that
they would like to have at least two children. Can you think of any
possible economic factors that may be causing women in so many countries
to average fewer than two children per lifetime? What about other
social or political changes? <span class="bold">LO1</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.2&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.2 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.3</b> Resource
consumption per person in the United States is either flat or falling,
depending on the resource. Yet living standards are rising because of
technological improvements that allow more output to be produced for
every unit of input used in production. What does this say about the
likelihood of our running out of resources? Could we possibly maintain
or improve our living standards even if the population were expected to
rise in the future rather than fall? <span class="bold">L01</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.3&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.3 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.4</b> Suppose
that you hear two people arguing about energy. One says that we are
running out of energy. The other counters that we are running out of
cheap energy. Explain which person is correct and why. <span class="bold">L03</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.4&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.4 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.5</b> A
community has a nighttime energy demand of 50 megawatts but a peak
daytime demand of 75 megawatts. It has the chance to build a 90-megawatt
coal-fired plant that could easily supply all of its energy uses even
at peak daytime demand. Should it necessarily proceed? Could there be
lower-cost options? Explain. <span class="bold">L02</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.5&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.5 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.6</b> Recall
the model of nonrenewable resource extraction presented in Figure 15.7.
Suppose that a technological break through means that extraction costs
will fall in the future (but not in the present). What will this do to
future profits and, therefore, to current user cost? Will current
extraction increase or decrease? Compare this to a situation where
future extraction costs remain unchanged but current extraction costs
fall. In this situation, does current extraction increase or decrease?
Does the firm’s behavior make sense in both situations? That is, does
its response to the changes in production costs in each case maximize
the firm’s stream of profits over time? <span class="bold">L04</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.6&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.6 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.7</b> If
the current market price rises, does current extraction increase or
decrease? What if the future market price rises? Do these changes in
current extraction help to ensure that the resource is extracted and
used when it is most valuable? <span class="bold">L04</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.7&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.7 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.8</b> <span class="bold">ADVANCED ANALYSIS</span>
Suppose that a government wants to reduce its economy’s dependence on
coal and decides as a result to tax coal mining companies $1 per ton for
every ton of coal that they mine. Assuming that coal mining companies
treat this tax as an increase in extraction costs this year, what effect
will the tax have on current extraction in the model used in Figure
15.7? Now, think one step ahead. Suppose that the tax will be in place
forever, so that it will also affect extraction costs in the future.
Will the tax increase or decrease user cost? Does this effect increase
or decrease the change in current extraction caused by the shift of the
EC curve? Given your finding, should environmental taxes be temporary? <span class="bold">L04</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.8&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.8 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.9</b> <span class="bold">ADVANCED ANALYSIS</span>
User cost is equal to the present value of future profits in the model
presented in Figure 15.7. Will the optimal quantity to mine in the
present year increase or decrease if the market rate of interest rises?
Does your result make any intuitive sense? (Hint: If interest rates are
up, would you want to have more or less money right now to invest at the
market rate of interest?) <span class="bold">LO4</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.9&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.9 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.10</b> Various
cultures have come up with their own methods to limit catch size and
prevent fishery collapse. In old Hawaii, certain fishing grounds near
shore could be used only by certain individuals. And among lobstermen in
Maine, strict territorial rights are handed out so that only certain
people can harvest lobsters in certain waters. Discuss specifically how
these systems provide incentives for conservation. Then think about the
enforcement of these property rights. Do you think similar systems could
be successfully enforced for deep-sea fishing, far off shore? <span class="bold">L05</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.10&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.10 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.11</b> Aquaculture
is the growing of fish, shrimp, and other seafood in enclosed cages or
ponds. The cages and ponds not only keep the seafood from swimming away
but also provide aqua culturists with strong property rights over their
animals. Does this provide a good incentive for low-cost production as
compared with fishing in the open seas where there are few if any
property rights? <span class="bold">L05</span><br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.11&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.11 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br /><b>15.12</b> <span class="bold">LAST WORD</span>
The figure in the Last Word section shows that a 10-fold increase in a
country’s GDP per person is associated with about a 20-point increase in
EPI. On the other hand, GDP per person was $38,165 in the United States
in 2007 but only $32,775 in Switzerland; yet Switzerland had an EPI
score of 95.5, while the United States had an EPI score of only 81.0. So
does getting rich guarantee doing well environmentally? Discuss.<br /> <a href="http://www.vipserver.info/solutionsdt/excercise.asp?id=15.12&idb=EconomicsMcConnellFlynn19ed&type=p" target="_blank" title="Solutions 15.12 Economics - McConnell - Flynn - 19 edition"> Get solution</a> <br /><br />
Phttp://www.blogger.com/profile/00256067993955329795noreply@blogger.com