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Consider a consumer with the following preferences and budget constraint:
Preferences: U(X,Y)=min(3x,4y)
Budget: $500, px=$2, py=$1
(a) graph the budget constraint and some of the consumer's indifference curves on a graph. Be sure to cleary label the axes, slopes and intercepts.
(b) solve for the consumer's optimal consumption bundle. Indicate the consumers's optimal consumption bundle in the graph above.
Andrew is the manager of a factory. Workers at the factory are assigned to one of two tasks, one of which requires skilled labor and one of which requires unskilled labor. Suppose that Andrew would like to use the economic concept of screening to sep..
q. specify whether you agree or disagree with the subsequent statements. in brief explain your answer.a. increasing
Kaufman enterprises has bonds outstanding with a $1,000 face value and 10 years left until maturity. They have an 11% annual coupon payment, and their current price is $1,175. The bonds may be called in 5 years at 109% of face value (Call price = $1,..
If it cost Wardco $10million to treat the water and the value of mined products to customers is $8million, requiring water treatment would kill the project. Should Wardco be required to treat the water in this case?
Calculate nominal GDP in 2006 and in 2007 and the percentage increase in nominal GDP between 2006 and 2007.
Suppose there is a firm with two inputs of production, labor (L) and capital (K), with associated prices w and c, respectively. Also assume that the firm faces competitive input and product markets and that the two inputs are gross substitutes in pro..
More people in high-income countries than in low-income countries tend to believe that rapid rates of economic growth are not desirable. Which of the following best explains what is actually happening to real per capita GDPs of countries?
Students will be required to choose a specific enterprise (it should ideally be one with which they are somewhat familiar) and develop a sustainability indicators monitoring system for that enterprise
Rudolfo purchased 900 shares of stock for $62.20 a share six months ago. The initial margin requirement on this stock is 75 percent and the maintenance margin is 40 percent. Rudolfo pays a 3% on his margin loan, what is his holding period return if t..
q.if a firm faces a shortage of workers with very specific skills it may decide to undertake the necessary training
Assume that rather than buying textbooks for their courses last year, all students decided to buy online access cards at $100 per textbook. Compute the total cost for this basket of goods and the CPI.
Suppose that you are a legislator in New York considering whether to exempt people using Airbnb from the rule that rooms in private homes have to be rented for at least 29 consecutive days. What considerations would you take into account in making a ..
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