Economics - October 2007

I know that Fed's just cut the interest by another quarter-point to encourage consumer spending...
but why are all the analysts saying that it would take really long for that effect to take place?

2007-10-31 22:02:16 · 2 answers · asked by Anonymous

how did slavery function in a market society? lets say during pre american civil war era.

2007-10-31 19:43:45 · 1 answers · asked by street_life_king 1

Yesterday the excuse was Due to high demand, a week before it was due to the Cali fires, a week ago from that it was because of tensions in the middle east... is it possible that we will allow them to do this?

2007-10-31 18:34:54 · 12 answers · asked by I Speak the Truth 5

Assuming that the aggregate price level is constant, the interest rate is fixed, and there are no taxes and no foreign trade, how will the aggregate demand curve shift and in what direction if the following events occur?

a] An autonomous increase in consumer spending of $25 billion; the marginal propensity to consume is 2/3

b] Firms reduce investment spending by $40 billion; the marginal propensity to consume is 0.8

c] The government increases its purchases of military equipment by $60 billion; the marginal propensity to consume is 0.6

2007-10-31 16:46:42 · 1 answers · asked by Meezy 3

What is considered a suitable rate of annual growth of the US GDP?

2007-10-31 14:32:00 · 2 answers · asked by Anonymous

I know many stores put signs reading, "Cash Only", or "Dollar Bills greater Than 50 not accepted", but can they really reject credit cards or a $100 dollar bill? I was told that money is money, whether paper or plastic, and if I am to hand it over to a cashier in a store reading either sign, they must take my card or $100. Is this true?

2007-10-31 13:44:05 · 9 answers · asked by Anonymous

Just how many dollars are we short?

If not in the world, how much to end Poverty in the United States?

2007-10-31 13:11:31 · 11 answers · asked by Anonymous

Can anyone give me some examples of nearly perfectly competitive industries? I think consumer electronics and the market for wheat would be highly competitive.. is that right? and when you do give examples of highly competitive markets, can you identify any barriers to entry in those industries? thanks!!

2007-10-31 12:53:06 · 10 answers · asked by paulinatran10 1

Why not by 30 bps or 80 bps?

2007-10-31 12:28:21 · 2 answers · asked by minsterkimster 1

Principle of supply and demand suggest something is only worth what someone is willing to pay for it. If a condo in San Diego was renting for $3,000 last month and now renting for $6,000 this month; why should the landlord be prosecuted?

2007-10-31 11:48:35 · 3 answers · asked by Yo yo 2

NEW YORK (CNNMoney.com) -- The U.S. economy shrugged off problems in the housing and credit markets in the third quarter, as the pace of economic growth showed an unexpected gain in the government's latest reading.

The government report Wednesday buttressed arguments on both sides of the question of the day: Should the Federal Reserve cut rates?

Video
More video
Hans Redeker of BNP Paribas on the U.S. stocks decline ahead of a key federal rate decision.
Play video


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CNN's Andrew Stevens and Shakuntala Santhiran speak with Mark Konyn, CEO of RCM Asia Pacific, about the U.S. economy.
Play video

The unexpected strength reduced the need for the Fed to cut interest rates to combat fears of economic weakness. Yet a tame inflation reading in the report could give the central bank a green light to go ahead with a rate cut without worrying about spurring inflation.

Which sides wins the debate will be revealed at 2:15 ET, when the Fed concludes its two-day meeting.

The gross domestic product, the broadest measure of the nation's economic activity, rose at an annual rate of 3.9 percent during the three months ended in September, according to the report.

That's up from the 3.8 percent growth in the second quarter. Economists surveyed by Briefing.com had forecast growth would slow to a 3.1 percent percent growth pace.

It was the strongest pace of economic growth since the first quarter of 2006, when the U.S. economy was catching up from the hit it took in the wake of hurricanes Katrina and Rita the previous quarter.

The report showed that consumption by individuals grew at a 3 percent annual rate, as consumers increased their purchases of most items other than autos.

Exports grew 16 percent, helping to add nearly a percentage point to the overall pace of growth.

The growth in business inventories added nearly 0.4 percentage points to the growth rate, which also was stronger than expected.

The report also showed that prices rose at only a 0.8 percent pace in the quarter, down from a 2.6 percent increase in the second quarter. Economists had forecast that measure, known as the GDP price deflator, would slow to a 2 percent rise in the latest reading.

2007-10-31 10:41:20 · 4 answers · asked by gavaughn0819 1

I'd like to find out where my salary falls compared to other Americans, and-- this could also be very interesting-- compared to world salaries.

Every once in a while you hear factiods like, (this is a made up stat) "The richest 1% of Americans hold 25% of the money in this country."

I'm pretty certain that I'm not in the top 1%, but I'd like to know how far I am from reaching the top 50%.

2007-10-31 10:38:24 · 3 answers · asked by El Mateo 1

2007-10-31 08:53:22 · 5 answers · asked by Anonymous

2007-10-31 08:38:43 · 2 answers · asked by Sarah O 1

What needs to be done for this historically terrible economy to turn around and get the exchange rate back up to 2003 levels?

2007-10-31 08:21:35 · 4 answers · asked by TFJG 1

2007-10-31 07:58:05 · 10 answers · asked by Sarah O 1

I am having trouble understanding economics. I have come across a question which troubles me

here is the question:

Explain how the concept of opportuity cost is relevant in eachof the following situations:

a) A teenager deciding how to spend their weekly allowance
b)A student deciding whether to stay at home and revise for an examination or go out to a party.
c)An education board deciding whether to close down a small school in a remote area.
d)A government deciding whether or not to place more emphasis on protecting the environment.


i am just giving this as an example from my text book so i can get help from someone to understand this

please note it says that in these questions credit is given for correct use of english and for the good use of economic terms and phrases.

please help!

thanks

2007-10-31 07:02:50 · 3 answers · asked by mackavelli786 1

For example, I get the impression that an Exxon doesn't simply buy oil directly from Saudi Arabia, but that instead, there are speculating middlemen who intercede along the way, and evidently are able themselves to affect the ultimate price to oil companies, and so, to consumers. Who are these middlemen in the oil transaction, how much impact do they exert on prices, and why do they have to exist in the first place (i.e., why can't an Exxon simply "buy direct" from Saudi Arabia, and cut these speculators out of the deal altogether?

2007-10-31 05:43:42 · 3 answers · asked by Bill R 1

2007-10-31 04:06:26 · 3 answers · asked by babyface 1

2007-10-31 03:43:46 · 21 answers · asked by Spartacus 3

2007-10-31 03:35:31 · 5 answers · asked by James 1

2007-10-31 03:35:16 · 4 answers · asked by sheri 1

All I've been hearing on CNBC for the past 3 months is how the US economy is in a recession, how Europe and Japan and the rest of the world is growing and the US is not ... and today's GDP report was a whopping 3.9%??? WTF?

2007-10-31 01:45:18 · 2 answers · asked by KevinStud99 6

A CEO of a large pharmaceutical company would like to determine if he should be placing more money allotted in the budget next year for television advertising of a new drug marketed for controlling asthma. He wonders whether there is a strong relationship between the amount of money spent on television advertising for this new drug called XBC and the number of orders received. The manufacturing process of this drug is very difficult and requires stability so the CEO would prefer to generate a stable number of orders. The cost of advertising is always an important consideration in the phase I roll-out of a new drug. Data that have been collected over the past 20 months indicate the amount of money spent of television advertising and the number of orders received.
The use of linear regression is a critical tool for a manager's decision-making ability. Please carefully read the example below and try to answer the questions in terms of the problem context. The results are as follows:


Month Advertising Cost (thousands of dollars) Number of Orders
1 $55.93 4,102,000
2 70.62 3,893,000
3 79.58 5,299,000
4 58.67 4,130,000
5 69.18 4,367,000
6 70.14 4,111,000
7 73.37 3,923,000
8 68.88 4,935,000
9 82.99 5,276,000
10 75.23 4,654,000
11 71.38 4,398,000
12 52.90 2,967,000
13 61.27 3,999,000
14 79.19 4,345,000
15 60.03 3,934,000
16 78.21 4,653,000
17 93.77 5,625,000
18 62.53 3,978,000
19 88.76 4,999,000
20 92.64 5,834,000
a. Set up a scatter diagram and calculate the associated correlation coefficient. Discuss how strong you think the relationship is between the amount of money spent on television advertising and the number of orders received. Please use the Correlation procedures within Excel under Tools > Data Analysis. The Scatterplot can more easily be generated using the Chart procedure.
NOTE: If you do not have the Data Analysis option under Tools you must install it. You need to go to Tools select Add-ins and then choose the 2 data toolpak options. The original Excel CD will be required for this installation. It should take about a minute.
b. Assuming there is a statistically significant relationship, use the least squares method to find the regression equation to predict the advertising costs based on the number of orders received. Please use the regression procedure within Excel under Tools > Data Analysis to construct this equation.
c. Interpret the meaning of the slope, b1, in the regression equation.
d. Predict the monthly advertising cost when the number of orders is 4,999,000. (Hint: Be very careful with assigning the dependent variable for this problem)
e. Compute the coefficient of determination, r2, and interpret its meaning.
f. Compute the standard error of estimate, and interpret its meaning.

2007-10-31 00:58:01 · 4 answers · asked by Anonymous

how is the tension in the middle east contributing to higher value of Euros, sterling, CAD..etc ?
Question Details: does the fear of short oil supplies have any influence on the exchange rate ?

2007-10-31 00:29:54 · 3 answers · asked by mfk_returns 2

You can't eat it, you can't drink it...If the system collapses, and money becomes obsolete, farms become extinct, all water polluted, tell me how valuable gold will be again?

2007-10-31 00:20:45 · 4 answers · asked by Anonymous

Just want a BALLPARK FIGURE....?
how much would it cost to actually identify, round up and deport every illegal immigrant and add to that the dollars lost by businesses that provide services. then add the cost of replacing those workers. just a ballpark figure, is it really cost effective?

2007-10-30 19:39:58 · 1 answers · asked by michr 7

a. consumers do not have enough information to make good choices

b. producers have the power to find out exactly what to produce

c. both consumers and producers are fully informed about a product

d. the market is in perfect competition and prices are high

2007-10-30 17:50:05 · 1 answers · asked by matterized 1

a. to give producers the power to find out exactly what to produce

b. because the british government did so

c. to keep sellers from raising prices on necessary goods

d. to guarantee each civilian a minimum standard of living

2007-10-30 17:44:52 · 3 answers · asked by Anonymous

i would like to know which countries is u.s money worth more then there own. & if so how much would you get if you traded in our money for theres.

2007-10-30 17:17:03 · 5 answers · asked by Sexy Yes U Can Bless Me 3