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If current output is below potential GDP, what will happen to the inflation rate? How does inflation adjustment move the economy back to full employment?
two clothing stores in lowland mall are approached by a supplier with two lines to offer say formal or casual. the
A company has an annual requirement for 150,000 parts, which cost $125 each. The parts require processing having a $4,000 setup cost. Each part occupies 0.5 sqft of floor space in the factory. Floor space has a total cost of $12.50 per square foot..
In doing so, what would be the primary obstacle to overcome in implementing such a policy?
A collateral bond with a face value of $5,000 was purchased by an investor for $4,100. The bond was due in 11 years, and it had a bond interest rate of 4% per year, payable semi-annually. If the investor kept the bond to maturity.
If the two firms pick different prices, the high-price firm earns a profit of $20 and the low-price firm earns a profit of $90.
Find the yield to maturity of the following securities: A. a security paying $ 1000 in one year, for which you pay $926 today B. a security paying $ 80 0ne year from now and $ 1080 two years from now, for which you pay $1,050 today
Global Investment Group operatesin a perfectly competitive industry with the following Cost andRevenue data Average Total Cost = $2.50; Quantity sold =9000 Units; Price Per Unit = $3.50; Marginal Revenue = $3.50;Marginal Cost = $3.50:
What policy actions can be taken to put GDP back on target each period?
How would you test the hypothesis that the error term in the popula- tion regression is normally distribute? Show the necessary calculations.
Notice that the models have different service lives. However, model A will be available in the future with the same cash flows. Model B is available at 1 time only. If you select model B now, you will have to replace it wil model A at the end of y..
A drug company has a monopoly on a new patented medicine. The product can be made in either of two plants. The total costs of production for the two plants are given by c1(y1) = 20y1 + y1^2 and c2(y2) = 10(y2^2) + 5/2(y2^2).
Consider a simple economy where 90 percent of citizens report an annual income of $10,000 while the remaining 10 percent report an annual income of $110,000. What is the Gini coefficient associated with this economy
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