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This assignment is a reflective paper based on the discussion of the text material on irrational choices and the three common mistakes that people make. Do you make rational or irrational decisions? Consider some of your spending decisions and give examples of times you may have made one or more of the three common mistakes. Reconsidering those decisions now, what would you have done differently?
Find (algebraically) the points where the MC function intercepts the AVC and the ATC functions. (Hint: at one interception point MC = AVC and at the other MC = ATC)
Show that leisure must be a normal good for the labour supply function to be downward sloping.
Describe the effects of monetary policies on the economy's production and employment.
Explain the effects of these shocks on the price level, real GDP, and the nominal interest rate. Use an upward-sloping, short-run supply curve in your analysis.
A consumer of two goods faces positive prices for both goods and has positive income. Her preferences over consumption of good 1 and good 2 are represented by the following utility function: u(x1; x2) = 1 - (x1 4)^2 - (x2 3)^2
Suppose Corporation X deposits $80,000.00 in cash in commercial bank Y. If no excess reserves exist at the time this deposit is made and the reserve ratio is 30%,
Show how expansionary fiscal and monetary policies work. Under what conditions would these policies work more, or less, effectively?
Compare and contrast between internal and external growth strategy. Identify a range of factors which might estimate whether an internal or external strategy is pursue such a growth strategy.
Suppose you have just joined a regional investment banking company. They have offered you two different salary arrangements.
Explain why do economists attempting to forecast short run future changes in real GDP and employment look closely at information on business inventories and unfilled orders?
Two firms compete in a market to sell a homogeneous product with inverse demand function P=600-3Q. Each firm produces at a constant marginal cost of 300 and has no fixed costs. Use this information to compare th output levels and profits in settin..
Competition seems to be so fierce among the giant retailers, after discounting and lower profit margins, how is profitability possible.
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