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A-Suppose the interest rate on a fixed-rate, 30-year mortgage is 6.5%. Lex can afford to make payments of $1100/month. What is maximum mortgage Lex can afford??
B-While Lex ponders buying a house, the interest rate falls to 5.5%. Lex can still only afford to make payments of $1100/month. What is maximum mortgage Lex can afford now?
Which of the following effects helps to explain the slope of the aggregate-demand curve? Tax cuts shift aggregate demand
Sheryl spends all her leisure time and all her money on sailing. She doesn’t value leisure time if she can’t sail, and she can only sail if she has leisure time. How many hours will she work if she earns $20 per hour? Find a formula for her labor sup..
q.on january 2d 2012 canon expects to ship 750000 all-in-one fax printers and copy machines from its plant in japan to
Jim currently pays premium $P for his health insurance, which he purchases in a competitive health insurance market, and covers 80% of all his healthcare costs (i.e. 20% coinsurance rate; no deductible or catastrophic cap). If he were to instead purc..
Should Banks Make Money on Money? Can the banks make easy profits because the money multiplies? How? Is it fair and efficient? Is the basic structure of banking stable and fair? Could it be different?
Indifference curves that are higher than others necessarily imply that for every given quantity of one good...
Describe the relationship between costs and values in a society affected by externalities. Discuss the options that people and governments have to take account for their actions in these markets. Include comments regarding equilibrium and welfare dyn..
The price elasticity of demand for an input
According to the Keynesian sticky price theory, a rise in aggregate demand results in ___________ price level in the near term and in __________ price level in the long term. According to Keynes, the impact of a decrease in money suppply is a: Accord..
Monsanto, Corp paid dividends of $2.80 last year. Over the next three years the earnings and dividends are expected to grow by 10% per year. Thereafter, assume that the dividends will grow at a 5% rate forever. If investors required return on Monsant..
Assumes the perfectly competitive firm is in long-run equilibrium also there is an rise in Demand
If the rate of inflation in consumer prices is less than the rate of increase in a person's nominal income, that person's:
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