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Suppose a third project will cost $20,000 today and yield a return of $2,500 a year indefinitely. What is the present value of the project? What is the present value if the interest rate increases to 20 percent?
Now, suppose that—in addition to the 20% tariff (per pair) on imported shoes—the U.S. also imposes a 10% tariff on the imported components used by the shoe industry to make each pair of shoes. What is the effective rate of tariff protection (ERTP) fo..
consider how unemployment would affect the solow growth model. suppose that output is produced according to the
Suppose that the total benefit and total cost from an activity are, respectively, given by the following equations: B(Q) = 150 + 28Q – 5Q2 and C(Q) = 100 + 8Q. (Note: MB(Q) = 28 – 10Q and MC(Q) = 8.)
desired consumption for an economy is given by the equation cd 1000 .6y - 4000r. government purchases are given by g
assume that the low-calorie frozen microwavable food company from assignments 1 and 2 wants to expand and has to make
in a perfectly competitive industry every firm has identical cost structure. the short-run total cost curve of an
Use a diagram to show the effects of weak exports and investment on actual versus potential GDP in the Canadian macroeconomy and how might the announced trade deal with the European union provide a source of optimism?
Jay's Silk Printing Co. is located in a small university town. The major portion of their business is custom printed sweatshirts for university bookstores. As a sideline, they also retail sweatshirts locally. The local demand for sweatshirts is: Q..
A market contains a group of identical price-taking firms. Each firm has a marginal cost curve SMC(Q) = 2Q, where Q is the annual output of each firm. A study reveals that each firm will produce if the price exceeds $20 per unit and will shut down
Discuss the advantages and disadvantages regarding salary, office setup costs, work schedules, patient payment options, and malpractice insurance,.Conclude your analysis by choosing one of the options and explaining why you've done so.
Research in developing countries indicate that the incidence of child labor actually rose in some countries as incomes (and wages) of poor families increased. This is difficult to understand since many people assume that as incomes rose, the inci..
A firm in a purely competitive industry is currently producing 1000 units per day at a total cost of $450 and If the firm produced 800 units per day, its total cost would be $300, and if it produced 500 units per day, its total cost would be $275.
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