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The yield on a 30-year U.S. Treasury security is 4%; the yield on a 2-year U.S. Treasury bond is 4.8%. This data: Indicate the yield curve is downward sloping Indicate the yield curve is flat since the risk premium needs to be added for longer maturities Indicate the yield curve is upward sloping Indicate that people expect inflation to increase in the future.
Do you agree or disagree with the following statement? "Politicians would make more rational economic decisions if they weren’t running for re-election every few years.” Are there any benefits of making politicians go up for re-election?
Suppose that you are promised $100 per year for the next ten years. Which of the following statements is CORRECT for any r > 0? a. The present value of the annuity will be greater than $1,000. b. The future value of the annuity at t = 10 will be less..
A Material Requirements Planning (MRP) is most valuable in industries where a number of products are made in batches using the same productive equipment and with companies involving
Elucidate that contract align the incentives of the new vice president with the goals of the owners.
Sam has preferences for consumption goods (C) and time spent on leisure (L). The utility function is u(C,L) = CL. The household also has a home production technology summarized by a production function. How much time will Sam spend in leisure? How ma..
Consider the following problem: A flight from Chicago to New York 2 weeks from today has 170 seats. 65 seats are “protected” as high paying and 150 are economy. Why do airline companies offer free upgrade to business/first class to economy passengers..
Why do you think so many state and local governments are greatly concerned about the Federal government’s allegedly lax enforcement of the immigration laws and congressional proposals to grant legal status (amnesty) to the 12 million illegal immigran..
While drinking coffee, you believe that the marginal benefit of drinking one more cup is greater than the marginal cost of that cup. You then conclude that:
q1. explain why hyperinflation has such a devastating impact on economies.explain what it takes to stop hyperinflation
Assume that your household gets a machine that cost Lesley provides you with food. Illustrate what would that do to your labor supply.
Suppose that the demand function for good Z is given as a non-linear function: Qd(P) = aP^b, where a>0 and b
Suppose that a country has no public debt in year 1 but experiences a budget deficit of $20 billion in year 2, a budget deficit of $20 billion in year 3, a budget surplus of $10 billion in year 4, and a budget deficit of $2 billion in year 5.
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