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An individual utility function is given by U(c,h) = c.h, where c represents consumption during a typical day and h hours of leisure enjoyed during that day. The real hourly market wage rate the individual can earn is w = $20. This individual receives daily government transfer benefits equal to n = $100. At the point at which this individual maximizes her utility level she works [l] hours.
Compared with a drip system, a new type of infusion pump reduces the cost of administrating chemotherapy from $25 per dose to $20 per dose. The complication rate of each system is two percent. Which should you choose? What sort of analysis should you..
Explain four major potential advantages of foreign direct investment for a developing country? Provide specific example of a developing country to depict at least two advantages
illustrate what would you estimate the difference between the inflation rates of the U.S. also Japan.
Most labor economists believe that the supply of labor is..
Explain the impact of each of the following upon commercial bank reserves: (a) the Federal Reserve sells government bonds in the open market to private buyers;
The real exchange rate shows
The present machine can be sold on the open market for $14000. The cost to remove the old machine is $2000. Which are the relevant costs for the old machine?
The yield curve shows at any point in time:
A realtor wants to estimate the effect of house size on house value. they collect data on house size and house value and run a regression of house value(in $)House Value, on house size(in square feet),House Size. The regression yields a positive esti..
The following table summarizes the marginal abatement cost functions for an industry with two sources of pollution. What is the level of emissions and abatement at each source under the uniform standard? What is the total compliance cost for the indu..
This week there was news that some prices are rising. I heard that in some countries where corruption is high the prices are also higher. I wonder if there is causality or just both at same. It would be interesting to find some material to support if..
Find Equilibrium GDP (Y). If potential GDP is 1950, is the economy in a recessionary or inflationary gap. Suppose that the MPC, falls to 0.75, so C = 0.85DI. Find Equilibrium GDP.
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