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1. Suppose National Income (Y) = 10, Taxes (T) = 2.5, Private Savings = 3.5, and Public Savings = 1.5. Find consumption and investments.
2. An economist, has the following information about Lais Island, a closed economy, for the year 1820: Y = 10,000 C = 6,000 T = 1,500 G = 1,700 The economist also estimates that the investment function is: I = 3,300 – 100 r Where, r is Lais Island real interest rate, expressed as a percentage. Calculate: a. Private savings b. Public savings c. National savings d. Investment e. The equilibrium real interest rate.
What is difference between a change in supply and a change in quantity supplied? How the following factors will affect the supply curve? (your answer must be supported by a neat diagram):
Depreciable residential rental real property has been purchased for $70,000 and put into service during the third month of the taxpayer's tax year. For the applicable 27.5 year depreciation life, determine the allowable straight line depreciation ded..
Give an example of an event or incident that has taken place in the U.S. economy which has a major economic impact--be specific, e.g., 9/11 attack,
How could you use the concepts of marginal cost and marginal revenue to maximize profit? What information do you need to determine this? Without this information, how would you make a decision?
Omar will earn $20,000 this year and $50,000 next year. He can borrow and lend at an interest rate of 25%. He decides to borrow $15,000 this year. Draw Omar’s budget constraint for consumption spending this year and next, label the amounts at the end..
Select a Multinational Corporation (any you choose) and do Overview of their Strategies For Example are they a Monopoly? What is their Pricing Strategy? Who are the competitors? Are they conglomerates? Mergers and Acquisitions? Market Power? Anti tru..
Consider a production technology that takes three inputs: capital (K), labor (N ), and materials (M ). The production function is given by Y = AKαNβ Mγ , where α, β, γ > 0 and α + β + γ = 1. For this production function,
When an automaker begins offering low cost financing or rebates, others tend to do the same. What two oligopoly models might offer an explanation of this behavior? Fast-food restaurants tend to cluster together. That is, on one corner, there might be..
Entrepreneurship has become the new way of doing business in our world. With economies in decline and organizations downsizing and the lack of opportunities that satisfy, entrepreneurship has been born.
Find the output you should produce in order to maximize your expected profits so that you can then determine your expected profits accurately.
One person using one computer can produce 11,000 typed pages per year, and the price per page for your service is $2. Calculate the following three options. You have opened your own word processing service.
For each of the linear demand function p = -6q + 540 Calculate the price elasticity and write it only as a function of q, Calculate the marginal revenue, Draw demand and marginal revenue together on 1 graph. Show that the expected relationship betwee..
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