Describe the new neoclassical synthesis.
What will be an ideal response?
The new neoclassical synthesis blended classical and Keynesian ideas, using a basic DSGE framework. The models then add Keynesian “frictions” such as monopoly power and sticky prices. These frictions create a business cycle and an opportunity for government policy to affect the macroeconomy.
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Based on the free cash flow valuation model, the value of Weidner Co.'s operations is $1,200 million. The company's balance sheet shows $80 million in accounts receivable, $60 million in inventory, and $100 million in short-term investments that are unrelated to operations. The balance sheet also shows $90 million in accounts payable, $120 million in notes payable, $300 million in long-term debt, $50 million in preferred stock, $180 million in retained earnings, and $800 million in total common equity. If Weidner has 30 million shares of stock outstanding, what is the best estimate of the stock's price per share?
A. $24.90 B. $27.67 C. $30.43 D. $33.48 E. $36.82
A business owned by two or more personswho co-own a business for profit where each partner is individually liable for all partnership debts is a ___________ partnership
Fill in the blanks with correct word
Scenario 8.3 Use the following to answer the questions. The United States believes China is selling its steel products in the U.S. at unfairly low prices. For many years, domestic steelmakers have complained, saying that they cannot compete against the influx of Chinese steel entering the market. China denies that it is engaging in such behavior. However, the United States has announced that imports of Chinese steel products will now be more expensive-in some cases, by as much as 265.79%. American steelmakers believe this is the only way they will be able to compete against Chinese steel imports. Refer to Scenario 8.3. The reason Chinese steel products will be expensive is because the U.S. government is levying __________ against them.
A. an embargo B. quotas C. exchange controls D. import tariffs E. export duties
When determining the cost of a manufactured good under an operation-costing system, a company would:
A. trace actual conversion cost to each product produced and use a predetermined application rate for direct material. B. often switch to a job-costing system to simplify recordkeeping procedures. C. use a predetermined application rate for both direct-material cost and conversion cost. D. trace direct-material cost to each product produced and use a predetermined application rate for conversion cost. E. trace direct-material cost and actual conversion cost to each product produced.