1.If the Fed buys $32 billion of U.S. bonds in the open market and the reserve requirement is 10 percent, M1 will eventually?and the money multiplier?

2.What are the typical problems faced by the Less developing countries and the barriers of growth for them ?

3.Firm PQR produces a product 'Alpha' under perfect competition market conditions. The cost function for the firm is:

Firm PQR produces a product 'Alpha' under perfect competition market conditions. The cost function for the firm is:

TC = 1500 + 200 Q + Q2

The market supply and demand equations for the product 'Alpha' in the perfect competition market are:

QS = 40,000 + 60 P

QD = 80,000 - 40 P

Based on the information given above, calculate the profit maximizing output for PQR.

The economic profits earned by PQR.

Is the industry for product 'Alpha' in equilibrium?

4.You are selling your 1996 Mustang. You have already spent $1000 on repairs. At the last minute, the transmission dies. You can pay $600 to have it repaired, or sell the car "as is."

What is the marginal cost of fixing the transmission?

What is the marginal benefit of fixing the transmission if the Blue book value for the car is $6000 if the transmission works, $5500 if it doesn't?

Is it worth fixing the transmission?

5.Explain the meaning of regressive tax

6.What are the advantages of indirect taxation for governments

7.Discuss the ways in which oligopolists behave in the market

8.Outline the primary responsibility of the National Treasury Management Agency

9.Suppose the market for wheat is in equilibrium. Explain, with the aid of a separate diagram in each case, the effects which each of the following market situations is most likely to have on the equilibrium position for wheat: Exceptionally wet weather conditions An increasing percentage of the population is suffering from wheat allergies and intolerance A decrease in the price of oil

10.The prospective purchaser of several new shipments of waterproof gloves hopes they are as good as the old shipments, which had a 10% rate of defective pairs. But he fears that they may be worse. So for each shipment, he takes a random sample of 100 pairs and counts the proportion P of defective pairs so that he can run a classical test. The level of this test was determined by such relevant factors as the cost of a bad shipment, the cost of an alternative supplier, and the new shipper's reputation. When all these factors were taken into account, suppose the appropriate level of this test was alpha = 0.09.

State the null and alternative hypotheses, in words and symbols.

What is the critical value of P? That is, how large must P be in order to reject the null hypothesis