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(a) In the 1990s, several stocks had very, very high price to earnings ratios. These stocks appeared overvalued to many observers. What might the people who bought them have been thinking?
(b) Explain why the ‘B' in DIBA may be more appropriate for Buzz than for Clutch, based on the following information. Clutch and Buzz are both thirty years old. Both are saving for retirement. Clutch is also saving in order to make a down payment on the purchase of a new home. Buzz plans on renting an apartment indefinitely.
Suppose a firm must pay an annual tax, which is a fixed sum, independent of whether it produces any output-How does this tax affect the firm's fixed, marginal, and average costs?
Ignoring transaction price explain how much would a buyer have to pay for one call option contract.
Assume that the Fed unexpectedly raise the rate of money growth.
The setup activity price driver rate, using the best cost driver for this situation.
Analyze the factors that influence the banks desired excess reserve ratio, r e . What would happen to the magnitude of r e if:
The demand function for gadgets is providede by the following formula. Illustrtae what is the point price elasticity of demand.
Illustrate what is your opinion and brief description about the microsoft anti trust case. Need your opinion about the outcomeand if the solution was fair
For each restaurant, write profit as a function of Px and Py and find the best response functions of the two restaurants.
Compared to the Gini coefficient for income distribution, the value of the Gini coefficient for the distribution of wealth would be,percent of families on the vertical axis and percent of income on the horizontal axis b. percent of families on the h..
Some countries do not protect human rights in the same manner as the United States (US).
Identify whether the subsiquent issues are macroeconomic or microeconomic and explain why you categorized them in that way.
Explain and show graphically how the self-correcting(self-djusting) mechanism works in a recessionary and in an infationary gap. Does the ecoomy have a self-correcting mechanism. What factors (determinants) cause the AD curve to shift
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