What is the level of nominal gdp in year one
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What concept does this example illustrate? How does this idea relate to macroeconomic instability?
Then demonstrate and explain on the same graph the outcome as viewed by mainstream economists.
What is an efficiency wage? How might payment of an above-market wage reduce shirking by employees and reduce worker turnover?
A construction company is building a highway system, and construction will take four years. When should the company record the revenue it earns?
What is the level of nominal GDP in year 1? What amount of U.S. securities will it have to sell to, or buy from, banks or the public between years 1 and 2?
Explain to the auto manufacturer when the company should, and should not, record this sales revenue and the related expense for cost of goods sold.
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?
What is the Laffer Curve, and how does it relate to supply-side economics? Why is determining economy's location on curve so important in assessing tax policy?
Explain to the employee why the adjusting entry is needed for accrued salary expense.
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