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Assume that the interest rate is 10%. Explain whether you would prefer to receive (a) $ 75 one year from now, (b) $ 85 two years from now, or (c) $ 90 three years from now? Would your answer change if the interest rate is 20%? Show how you arrive at your answers.
q.investment and monetary policya the economist on the 7th may 2011 printed the followingas vietnams government appears
Suppose a (very small) country has a central bank who has issued 100m of money, where nominal output is 350m annually. How frequently is the average piece of money used? Give two realistic occurrences that might drive changes in the velocity of money
If your wealth is held as currency or checking accounts, or other assets that you can convert to money on the short notice, your assets are considered to be?
Suppose that the government imposed a $1 tax each time someone used an ATM. How would this tax affect output and the price level in the short and long run?
Explain game theory and how you can apply the concepts in your life and work now and in the future? How does game theory relate to competitive advantage?
A sudden decrease in the market demand in a competitive industry leads to
Suppose you are the manager of a restaurant that serves an average of 400 meals per day at an average price per meal of $20. Compute the price elasticity of demand between these two points. Compute total revenue at the three meal prices
Illustrate what is the present macroeconomic situation (e.g. worrying about inflation also/or recession) in the U.S.
Manager of a computer company plans to spend on new hardware $3.5 million in the first year with amounts decreasing by $0.2 million each year thereafter. Income of the company is expected to be $8.0 million the first year increasing by $0.3 million e..
Provide an example for each about decision-making, interaction and workings of economy. Explain how that influences marginal benefits and marginal costs associated with decision to purchase a house.
Suppose the U.S. economy is in a recession and faces relatively high inflation. List the twin problems which policymakers face. List the monetary policy approaches the Fed could take to resolve each problem (i.e, do not list the policy tools—just des..
Draw the complete Malthusian model, identify equilibrium, and label completely and correctly. Suppose that the government initiates a pro-population growth policy. Draw the implications of this policy change on your graph. Identify changes to equilib..
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