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Nancy buys a house in 2000. He obtains a fixed 10% mortgage interest rate, and makes payments of $1,000 per month. The 2000 CPI is 90, the 2001 CPI is 90, the 2002 CPI is 100, the 2003 CPI is 110, and the 2004 CPI is 120.
1. What is the real mortgage interest rate in 2001, 2002, 2003 and 2004?
2. What are the values in 2000 dollars of Nancy's monthly mortgage payments in 2001, 2002, 2003, and 2004?
Determine what are economic decisions made in tradition, command and market economies and what are the pros and cons of each?
A Company is planning whether to increase into a new territory. It has estimated the following according to possible changes in the economy. Determine their expected growth and risk measure of the growth.
What measures the fed should take to decrease the unemployment value and expand the economy. Remember that the answer has to deal with monetary policy,
Suppose the following equations discuss a hypothetical economy where both the price level and interest rates are fixed.
The marketplace structure of Starbucks is a monopolistic competition. In the coffee industry, many producers and consumers exist, the goods and services are mixed.
Explain how would you relate the hiring practices of that industry or industries to fluctuations in the business cycle.
To finance this subsidy every pair of stilts purchased by someone who is tall is taxed at a rate of T percent.
Included in paper should be an explanation of differences among the forecasts for economic indicator and a rationalization for which forecasts you believe are most accurate.
Currently, the island of Guam does not have a minimum wage need but uses the United States minimum wage as a reference. Give a theoretical justification for why imposition of a $5.15 minimum wage.
During a recession the government causally raise government spending
Tom earns $15 per hour for up to 40 hours of work each week. he is paid $30 per hour for every hour in excess of 40.
Elucidate why relatively flat as opposite relatively steep labor demand curves are more consistent.
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