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Explain which of the following transactions would be directly counted in 2013 's GDP. In each case, explain whether the action causes an increase in Consumption, Investment, Govt. Purchases or Net Export.If the transaction is not included in 2013's GDP, explain why not.
(a) You purchase $5000 worth of Google's stock.
(b) A record company produces 500, 000CDs of a new artist. Only 100,000 are sold at the price of $15.00.
(c) You purchase a 2007 Lexus for 25,000 and then purchase a set of special tires for $1600.
(d) You fix your friend's car saving him $300.00 and in return,he paints your house saving you $400.00
We make selections as customers every day. Opportunity cost is defined as a person's next best alternative or cost of what you give up when you make a choice.
XYZ Corporation faces a horizontal demand curve and the market price is given to be $15. Compute the shutdown price of operations for Corporation XYZ.
A company used a combination of inputs that was to left of its isocost line, it would indicate that
What are the costs of making those "systematic mistakes"? Is it possible to act "irrationally," or is rationality defined by the individual's approach to decision making?
Estimate the linear demand equation
Graph the demand and marginal cost curves and calculate and indicate on the graph the equilibrium price and quantity
How concerned should this company be about price discounts by itsleading competitors and conduct a t-test to check the statistical validity of the estimated equationat 95 percentconfidence.
Constrained optimisation model
Using regression analysis, find an equation that best fits the data to represent the TVC function and at what sales/output level will marginal costs (MC) reach a minimum?
Estimate the regression model (E) using the OLS estimator and provide a summary report of the result (i.e., the estimated equation with the standard errors and/or t-ratios with other relevant statistics).
Determine the optimum prices and outputs for both Airbus and Boeing if they decide to proceed individually without collaborating in the development of the VLCT.
What would happen to equilibrium GDP if the rate of investment increased to $250 from current $200 billion per year? If net exports go up by $20 billion what would happen to Equilibrium GDP?
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