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Explain why a high economic growth rate does not necessarily mean an improvement in economic welfare
Assuming that this is rational behaviour by profit-maximizing "firms" elucidate what economic factors may influence such behaviour.
Explain the impact the law of diminishing marginal returns has on both marginal cost and average total cost - with the aid of a diagram explain the long run average cost curve and the influences upon it.
Real interest rates. The political business cycle refers to. Suppose aggregate demand fell. In order to stabilize the economy, the government might. Which of the following likely occurs when households and firms become more pessimistic?
Is Public Opinion important to Walmart regarding the Economy and were this Super retailer has no organized Labor?
q.assume there are 100 identical firms in an initially competitive market. market demand is given by p10-q200 and
Can these equations be reliably estimated using OLS? Explain. Solve for the reduced-form equations of this model.
Suppose a country has a production function that exhibits constant returns to scale. Starting from an initial steady state with population growth rate n and a rate of capital depreciation Delta, the country is devastated by an epidemic that quickly k..
The company has 1.5 million shares of common stock outstanding. What is its book value per share?
Politicians are concerned about the growing wage inequality in the United States caused by a substantial increase in the returns to college education. A senator is proposing a law that would give firms a subsidy to buy additional capital. How might t..
Joe's utility function is U (A,B)=AB^3. Compute Joe’s expenditure function. Using the expenditure function compute the income increase (in percentage terms) that Joe needs to maintain his original standard of living when the price of basic goods doub..
Assume the market for heating energy. This year it is forecasted to be an unusually cold winter. Explain what will happen to the market for heating energy. Identify the effect on equilibrium quantity and price. What happens to the number of firms in ..
You are considering purchasing a savings bond that will pay $100 in five years. The market interest rate currently is 3% per year. What should you be willing to pay to purchase this bond today? Suppose the interest rate goes up next year, to 4% per y..
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