1.1 The Nigerian economy is heavily reliant on oil revenue. Using elasticity theory, analyse how the government can maximize Nigerian oil sector revenue. 1.2 Examine the possible impact of the elasticity strategy on the macroeconomic objective of Nigerian economic growth considering that its economy is in distress.

1.1 The Nigerian economy is heavily reliant on oil revenue. Using elasticity theory, analyse how the government can maximize Nigerian oil sector revenue. 1.2 Examine the possible impact of the elasticity strategy on the macroeconomic objective of Nigerian economic growth considering that its economy is in distress.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter20: Economic Growth

Section: Chapter Questions

Problem 20RQ: For a high-income economy like the United States, what aggregate production function elements are...

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11. There is evidence that the recession is coming to an end for Intelligent Engine Company. New orders are coming in at a steady pace, and management is confident that new contracts will take them through the next couple of years. The company has started investing again, but not in people. Employees total the same as when the company and its competitors faced their lowest revenues of the decade. Due to the company is producing more product and services with less people. A. the lack of skilled labor B. new competition C. social changes D. technological advancement
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Problem 9 Hu Tells Leaders China Growth Will Help World Economy Chinese President Hu Jintao told world leaders that his country "has taken an active part in the international cooperation to deal with the financial crisis" by providing a "$586 billion economic stimulus, focused on building low-rent housing, roads, railways and airports. The package also allows tax deductions for fixed assets such as machinery to stimulate investment. Farmers will also benefit from more subsidies." Hu stated that "China is in itself an important contribution to international financial stability and world economic growth." www.bloomberg.com 11/15/2008 If the fiscal stimulus spending does generate economic growth, what can we expect to see Problem 10 According to UNESCO reporting, "Governments in North America and Western Europe invested the highest shares of national resources in education: 5.6 percent of GDP." As a result, we would expect , all else held constant. www.worldometers.info
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5. Consider an economy where the elasticity of output with respect to capital is 0.3 and the elasticity of output with respect to labor input is 0.7. If we assume that the growth rate of output is 3% and the growth rate of both capital and labor input is 2%, what is the implied total factor productivity growth?
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