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Consider an asset that costs $140 today. You are going to hold it for 1 year and then sell it. Suppose that there is a 25 percent chance that it will be worth $90 in a year, a 25 percent chance that it will be worth $130 in a year, and a 50 percent chance that it will be worth $180 in a year.
How does the amount of unemployment created by an increase in the minimum wage depend on the elasticity of labor demand? Do you think an increase in the minimum wage will have a greater unemployment effect in the fast-food industry or in the lawn-car..
Assume that the home country experiences technological growth in the X sector such that α increases to 12. Describe the impact on the free trade price, the pattern of trade and gains from trade.
Suppose that the ecomony is operating below full employment and that it will not overheat during the year.
develop a regression equation using any data. use the regression equation to focus the demand for the product you chose
What would be the consumer buying response to Coca-Cola if the price of Pepsi doubled If the prices of Coca-Cola and Pepsi remained constant, what would be the typical buying response to these products if consumer income was reduced by 30%
A friend is explaining how supply and demand works using McDonald's hamburgers as an example. You question his examples, saying that the assumption that there must be many sellers and buyers is not true in the case of McDonald's
Illustrate what would you expect to happen in the general economy if these rates are all increased.
The government decides that eating ice cream is a socially desirable activity and passes a law giving consumers 50 cents for each ice cream cone they eat. What is likely to happen in the marketplace once this policy is in effect What are consumers..
What is one significant consequence of fractional reserve banking Banks are vulnerable to "panics" or "bank runs." Banks can only lend an amount equal to its deposits. Banks hold a portion of their deposits in gold. Banks can serve the withdrawals..
Suppose autonomous net taxes rise through $500; the marginal propensity to consume=3/4. Net exports, planned investment, taxes, and government purchases are autonomous and remain fixed.
Important member of the Board of Directors only have some basic training in economics. So you should explain your results intuitively and use the language so that people with only intro level economics can easily follow.
Should the Federal Reserve be independent or dependent of the government in your opinion?
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