If the central bank buys 50 of bonds from commercial banks and the target reserve ratio is 5%, everything online indicates that the com bank lends all the new reserves and the money supply increases by 50/0.05 = 1000. But if they lend all the new reserves (meaning the reserves no longer include the 50 increase) and increase their deposits, won't their reserve ratio now be below the target? I would assume the first bank lends 47.5, etc, meaning the total reserves doesn't change. But in this case the deposits increase would only be 47.5/0.05 = 950, which is inconsistent with that I have found online.
Suppose a construction company is trying to decide whether to buy a new nail gun. The table below shows the hypothetical costs for the nail gun and the amount the gun will save the company each year. Assume the gun will last forever. In each case, determine the highest interest rate the company should pay for a loan that makes purchase of the nail gun possible.
You are a manager at Glass Inc. a mirror and window supplier. Recently, you conducted
a study of the production process for your single-side encapsulated window. The results
from the study summarized below, and are based on the eight units of capital currently
available at your plant. Workers are paid $60 per unit, per unit capital costs are $20, and
your encapsulated windows sells for $12 each. Given this information, optimize your
human resource and production decisions. Do you anticipate earning a profit or loss?
Explain carefully.
Labor
Output
1
10
2
30
3
60
4
80
5
90
6
95
7
95
8
90
9
80
10
60
11
30
You are a manager at Glass Inc. a mirror and window supplier. Recently, you conducted
a study of the production process for your single-side encapsulated window. The results
from the study summarized below, and are based on the eight units of capital currently
available at your plant. Workers are paid $60 per unit, per unit capital costs are $20, and
your encapsulated windows sells for $12 each. Given this information, optimize your
human resource and production decisions. Do you anticipate earning a profit or loss?
Explain carefully.
Labor
Output
1
10
2
30
3
60
4
80
5
90
6
95
7
95
8
90
9
80
10
60
11
30
C= 100 + 0.8dy I = 140 G= 200 T= 100+ .2y
What are the three macroeconomic goals
If MPC is 0.67 and the private investment declines by $210 billion, how will that affect the current GDP if it were at $17 T
Define and graphically explain Okun’s Law
According to the Heckscher Ohlin model countries tends to export goods which intensively use their abundant factors of production, How is this preposition different from Ricardian model? Give an illustration
discuss the concept of economy integration in your view as ecowas beenable to deliver on its set objectives to member countires