Redistributed from creditors to debtors
Wealth is redistributed from creditors to debtors when inflation was expected to be:
A. high and it turns out to be high
B. low and it turns out to be low
C. low and it turns out to be high
D. high and it turns out to be low
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The mean is 34.51 for men with a standard deviation of 3.48 and a mean of 29.44 with a standard deviation of 2.86. Conduct a two tailed hypothesis test at a significance level of .05 to see if the two means are different.
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Now suppose the economist allow for crowding out. Would their new estimate of MPC be larger or smaller than their initial one?
Consider the following multiplicative demand function where QD = quantity demanded, P = selling price, and Y = disposable income:
Determine (solve for) the equilibrium level of income or GDP (Y). Determine the impact on income of a 50 increase in government spending from 250 to 300. Using the original data, compute the impact of a 50 decrease in taxes from 125 to 75.
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