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Use the data on U.S. real GDP below to compute real GDP per person for each year. Then use these numbers to compute the percentage increase in real GDP per person from 1987 to 2005.
Year REAL GDP (2000 prices) population
1987 $6,435,000 million 243 million2005 $11.092,000 million 296.6 million
Use the firm's isoquant-isocost diagram and the firm's marginal cost curve to explain and illustrate the output and substitution effects of a decrease in the price of labor.
Explain how much should it be willing to pay today for the office complex.
Determine which of the following explain the attitude of most economists towards the United State based automobile sector?
Howard Bowen is a big cotton farmer. The land and equipment he has a current market value of $4,000,000. Bowen owes his local bank $3,000,000.
The ten firms have banded together to form a cartel, and the cartel sets the monopoly price. The cartel agreement limits each firm to an output of one-tenth of the total amount demanded at the cartel price.
Do a market analysis for the product. Each group may carry out some desk research and fieldwork and do a write up on the following details of a product your group have chosen.
Suppose that because of the ongoing financial turmoil banks become more prudent: that is, other things equal, banks want to hold more excess reserves and make fewer loans.
If increased government spending and tax cuts were equally effective in stimulating aggregate demand, which fiscal tool would you select? Why?
Illustrate which loan carries the lower effective rate. Consider fees to be the equivalent of other interest.
Explain what does the transaction of a buyer and seller directly affect a third party. Is the effect a negative or positive externality.
A firm uses a single plan with costs C = 160 + 16Q + .1Q 2 and faces the price equation P = 96 - .4Q. The firm's production manager claims that the firm's average cost of production is minimized at an output of 40 units.
Ellucidate how does technology affect the dissemination of information throughout the market.
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