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The income elasticity of demand for your firm’s product is estimated to be 0.75. A recent report in The Wall Street Journal says that national income is expected to decline by 3 percent this year.
What should you do with your stock of inventories?
What do you expect to happen to your sales?
How would you answer parts a and b if you expected a 5 percent increase in income instead of a decrease?
what effects might a decision by these countries to diversify their interrational reserve holdings have on the dollar and what problems might it create for U.S monetary policy?
give an example of a good that you have consumed for which your marginal utility increased with the amount of if you
Using the intermediate macroeconomic
Several years ago, American Economic Review published a paper in which the author claimed giving gifts at Christmas was "inefficient." Instead of giving gifts, which the receiver might not want, it would be better to give money so that the recipie..
Draw a graph showing the optimal size of the park and briefly explain why a park of 2 acres is not optimal
What happens in the market for oranges if there is a hurricane that destroys the orange crop and explain why is strategic interdependence important for market structure of oligopolies?
Consider the issue of minimum wage law: under which type of moral theory would such a law be justified most strongly? In what ways are utilitarian and capitalist notions of justice consistent? When do they differ? Using an example discuss the relativ..
An asset with an 8-year ADR class life costs $50,000 and was purchased on January 1, 2001. Calculate any depreciation recapture, ordinary losses, or capital gains associated with selling the equipment on December 31, 2003, for $15,000, $25,000, and $..
On the topic of ticket pricing
1) Identify which of your interests you could shape into a business opportunity. Be sure to think big. For instance, if you love being with friends and listening to music, a club promotion business might make sense for you. Identify and discuss..
1. a poor person who has an income of 1000 receives 100 worth of food stamps. draw the budget constraint if the food
List the 4 components of the GDP, in descending order of magnitude for the USA (3rd and 4th may change position at certain points in the business cycle, don't worry about them). Research and state, on average, the percentage of GDP each component rep..
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