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Your father gives $25,000 as a 21st birthday present. you decide to make regular deposits of 1,000 on your 22nd birthday, adding $200 more each year (1,200 on the 23rd etc... What is your future worth on your 56th birthday?
Software developers at Acme systems, Inc., have developed an iPhone App that analyzes an individual’s golf swing. Should the developers attempt to de-bug the program completely or not? Use the basic principles of economics and a simple graph to suppo..
The p-value for a hypothesis test turns out to be 0.09802. At a 10% level of significance, what is the proper decision.
You are the manager of a business in a monopoly market with the following inverse demand function. In addition, assume your production technology is described by the total cost function.
Describe state capitalism in China and explain what policies China uses for its economy. Explain why China has been so successful so far. Explain what the potential challenges for continued success in China might be.
A firm making more than a normal profit may still be experiencing an economic loss. An inferior good is a good whose demand decreases as its prices decreases. As new firms enter a monopolistically competitive market, the demand faced by each competin..
Assume that wages and prices are sticky and that we start at a long-run equilibrium. Assume that at this initial point, the growth rate of the money supply is 4%, the growth rate of the velocity of money is 9% and that the real economic growth rate i..
Cartman and Kyle are castaways on an island and spend their days picking papayas and mangos. Cartman has a comparative advantage in picking papayas. Kyle has a comparative advantage in picking mangos. Use the infinite line tool to draw the linear pro..
A new tax on airline tickets has raised concerns the European airline traffic will fail. Show the effect on airline ticket prices and quantity demanded. Show the shift of supply and/or demand curves and explain why the curve(s) shifted.
Which of the following is not an explanation for stagflation? Stabilization policies and FED intervention created an inflationary bias over time, which required higer rates of unemploymentto retsrain inflation.
1. Why might we not expect covered interest parity to hold between the U.S. and Vietnam.
A production manager knows that historically, the amounts of impurities in bags of a chemical follow a normal distribution with standard deviation 3.8 grams
Assume that a piece of equipment has a replacement cost of $10,000 and an 8-year life. Calculate its annualized cost at an interest rate of 15%. Show your calculations.
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