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Mikey cuts hair to pay for his tuition for college. Unfortunately, the cost of a haircut in his town hasn't risen in years, and neither has his hourly wage. To make matters worse, the cover charge at his favourite club, Stages, keeps rising. He asks you to lend him $600, promising to repay you with interest at the end of one year. You try to convince him to stay home and do his work, but he doesn't waiver. You decide to charge Mikey 5% interest, the same as the fixed rate on your student loan. At the end of the year, he repays you principal plus interest in full.
Find the precise expected real rate using the CPI figures from parts (a) and (b) (correct to 2 decimal places ie. 4.75%). What would be the expected real interest rate if you never considered that prices could change during the year?
Select a product you have purchased in the past month from a clothing or shoe store. Explain how each of the four factors contributed to the elasticity of the good.
Suppose that a profit maximizing companies short run cost is TC=700+60Q. If the demand curve P=300-15Q, which of these options should it do in short run?
The average total cost of operating a clinic is $800 per patient if the volume is one hundred patients, and $790 each patient if the volume is 110 patients. Find the total cost at each of these two volumes?
Large-scale wars typically bring a suspension of international trading and financial activities. Exchange rates lose much of their relevance under these conditions, but once the war is over governments wishing to fix exchange rates face the proble..
Suppose that you are on the board of directors of a firm which is the dominant firm in the industry. That is, it lets all of the other firms, which are much smaller, sell all they want at the existing market price. In other words the smaller firms..
What is the main research question(s) asked by the paper? Why should we care about this question? How does it t into the literature in economics of history?
Discuss why a firm's long-run costs are minimized when it employs the mix of resources such that the ratio of all of the resources' marginal products to their wage rates are equalized. Employ a graph to illustrate.
In what ways does economics class relates to the real world? How does knowledge gained from economics teaching been valuable in helping somone understand or evaluate events or policies?
Summarize the firm's history, its recent and current operating results, and the economic, social, and political forces that affect it most and present a brief SWOT analysis.
network externalities are often an important aspect of demand for information goods and services. (The benefits to customers of using software, participating in electronic markets, or using instant messaging increase with the number of other users..
Prepare an essay on Minimum wages are likely to harm those they are designed to help.
Externalities are 3rd-party consequence of some other action. They can be positive or negative externalities and they impose a benefit or cost to a 3rd-party.
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