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In a two year setting Rod has earnings of $ 8 000 this year and earnings of $ 25, 0 00 next year. He can borrow or lend at an interest rate of 25%. Draw his budget line including endpoints. What is the slope of the budget line? What is the inter pretation of the slope?
Suppose that each country has 100 workers and completely specializes in its comparative advantage. How many units of output of sippy cups and binkys will each country produce?
A struggling company currently has a total value of $700,000. It owes $500,000 from debt financing (assume these are loans from the bank if you wish). The value of the company to the owners is the difference between the total value and the amount owe..
Suppose the government implements a policy that subsidizes business investment. Explain how will this affect the relationship between investment and the interest rate.
Which of the policies is/are a monetary? - Which of the policies is/are fiscal? - What are the differences between monetary policies and fiscal policies?
Explain the types of incentives for providers for efficiency in the delivery of healthcare services.
Precision Instruments, Inc. manufactures high sensitivity mini accelerometers designed for modal analysis testing. The company borrowed $10,000,000 with the understanding that it would make a $2,000,000 payment at the end of year 1 and then make equa..
Is your answer consistent with illustrate what you would expect to find with the liquidity preference framework.
Illustrate If G rises to 200 and T rises to 150. How much would the GDP change as a result.
Which of the following would not occur as a result of a monopolistically competitive firm suffering a short-run economic loss?
Suppose that a consumer’s demand for a product is given by P = 80 – 2Q. A monopolist produces the product at constant marginal cost, where MC = $6. The firm has no fixed costs. Suppose the monopolist sets a two-part tariff for the good where the cons..
q1. illustrate what were the major contributing causes to failure of uplift unionism?q2. whenever you analyze your
By upgrading its equipment, a firm can achieve a $15,000 cost savings in the first year and increasing by $2,000 each year for the next 7 years. At an interest rate of 6% per year, compounded monthly, what is the equivalent annual worth of the saving..
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