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Use the following information to answer questions 1-3 [be sure to provide all computations]
Quanity Prices
Year CD's Tennis Racquets CD's Tennis Racquets2005 90 180 $18 $1002006 100 190 $20 $110
Compute the value of the price index for GDP for 2006 using 2005 as base year. By what percent did prices rise?Now calculate real GDP for 2005 and 2006 using 2006 prices. By what percent did real GDP grow?Review the GDP data for the last few years from the Bureau of Economic Analysis's Website. Provide a brief summary of the GDP trends over that timeframe and discuss two or three events which may have caused these trends.
Find out the profit maximizing level of price and output. Discuss an alternative regulatory regime, and discuss the merits of both.
Is it ethical for a government to pretend in ways which socialize financial risks or losses.
What kind of shocks could have caused this change to the money demand function? Determine the new interest rate and equilibrium level of output.
Assume that, in a perfectly competitive market at the profit maximizing quantity, the market price is greater than average total cost.
Is the subsiquent events cause the dollar to appreciate or depreciate against the Euro.
What are strengthen or weaken the argument that monetary policy should be the primary tool for smoothing the business cycle.
Assume NJ government decides to impose a $1,000 per student tax on colleges Every college has to pay $1,000 for each student enrolled.
If you can borrow (and lend) money at an interest rate of 8 percent, will the investment be a profitable undertaking? Is the project profitable at an interest rate of 12 per cent? Provide numerical calculations in support of your answers.
If my comapny operates in a competitive market and competes with many other domestic and foreign firms.
Illustrate what accounting tools also reports would you use. Use the Library and internet to re-explore value chain management.
Elucidate two reasons a single minimum salary might distort the labor market for teenage workers more than it would the market for adult workers.
Which nation has the absolute advantage in the production of tanks. Why is it this country? Which country has the comparative advantage in the production of computers.
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