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An organization offers training programs for its employees at a subsidized rate to help them use a nascent technology that the organization is adopting. The trained employees later bargain for a higher wage from the management as their probability of finding better paying jobs increase because some other companies are also adopting it. what is the action of the employee?
In both countries, g=0.02 and δ=0.04. Find the steady state value of y for each country.
Suppose a product sold in a competitive market is subject to a government price control. Suppose the regulated price is less than the free market equilibrium price.
Suppose a production function is given by f(K;L) = KL 2 What combination of labour and capital minimizes the cost of producing any given output?
What are consumption and saving in each period, assuming no borrowing constraints? What happens if the consumer faces a borrowing constraint that prevents her from borrowing?
Illustrate what objectives are pursued by members of the OPEC cartel. Discuss what actions they can take to achieve these objectives.
Is it possible for the gross federal debt to rise in dollar terms but decline as a percentage of GDP? Explain your answer.
One popular voting scheme is rank order voting, where persons assign a rank (1,2,3) to the possible options; the assigned ranks are then added up and alternative with lowest sum wins.
The FCC has hired you as a consultant to design an auction to sell wireless spectrum rights. The FCC indicates that its goal of using auctions to sell these spectrum rights is to generate revenue.
Explain why might the unemployment rate tend to actually underestimate the unemployment problem, especially during a recession.
Illustrate what does the concept of opportunity cost indicate. Consider how the production of one good affects the possible production level of other goods.
Elucidate how the topic you chose relates to the growth of US banking overseas.
Explain the various terms in the AS curve. Elucidate why the price of oil enters negatively. Solve for the equilibrium value of real GDP and the price level.
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