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Guiding Coalitions - Choose one of the options for discussion
Option 1
Option 2
Suppose the country of Laurelstan has the following national accounts in 2010: GDP = 100, C=70, I = 40, G = 20, net factor payments (NFP) = 0 and EX = 20. What is Y = GNP in Laurelstan in 2010? What is the value of Laurelstan’s imports in 2010? What ..
What is the resulting deadweight loss relative to the competitive outcome. Compute the Lerner Index for the monopoly described in the question above.
Suppose that the RBA decides to respond immediately to the decrease in the price of oil. In particular, suppose that the RBA wants to prevent the unemployment rate from changing in the short run, after the decrease in the price of oil. What should th..
First Bank has total deposits of $2,000,000 and legal reserves of $220,000. a. If the reserve requirement is 10 percent, what is the maximum loan that First Bank can make, and what is the maximum increase in the money supply based on First Bank's res..
In order to boost funding for the state of Florida or Mississippi, depending on where you are, each state has decided to start a daily drawing where people can purchase a ticket for $1 with a 3-digit number from 000-999. If the number on the ticket m..
Consider we wanted to know how many trips versus dinners out you could purchase. If you were told that X = number of trips and Y = the number of dinners out and you were given the following budget information; What is the meaning of the slope of the..
Using the decision tree resources available in the Topic Materials, create a decision tree for the scenario you outlined in Topic 2 DQ 1. Attach the decision tree to your response and include insights in crafting the decision tree. How would you appl..
Consider the following version of our one period macro model. The representative household’s preferences are defined over consumption C and labor N. Their preferences are given by the utility function U(C, N) = C −( N^(1+ (1/ν))/( 1 + (1/ν) where ν >..
Illustrate what is payback period method of investment. Explain how it can be applied to choose among investment project.
?Jim's favorite breakfast is two? eggs, 1/5 lb. of? bacon, 1/7 lb. of white? toast, 1/6 can? (16 ounce? can) of frozen concentrate orange? juice, and 1 lb. of grapefruit. The following table contains 1991 and 2001 prices for these five items. Using 1..
Serenity, Mac's Firefly-class spaceship, smuggles cattle from one planet to another. On one trip Mac purchased 90 head of cattle at a price of $5,000 for every 30. At his destination, he sells them for $1,000 apiece. What is Mac's Revenue and Profit?
Consider a firm using labor and capital as its only inputs. The price of capital is $40 where the price of labor (wage) is $60. Using 500 units of labor and 500 units of capital the firm is producing 1200 units of output. Write the firm's isocost equ..
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