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C.E. Stumpf & sons, Inc., was formed to conudct a masonary and general contracting business. the corporation waso owned in equal shares by Stumpf and his two sons, who had previously operated the same business as partners. Hostility between the two sons grew so extreme that one, Donald, ended contact with his family and was allowed no say in the operation of the business. After Donald's withdrawal from the business, he received no salary, dividends, or other revenu from the company. He brought suit seeking involuntary dissolution of the corporation. Should the court of appeals of California uphold the trial's dissolution order?
What makes relative PPP a useful guide for predicting exchange rate movements over the long-run? Would this effect your incentive to cover your exchange rate risk? Explain
At the moment, the market is completely ignoring things like record US trade deficits and the widening current account deficit. It is also largely ignoring the possibility of Federal Reserve rate cuts. Traders and investors are instead focusing only ..
which the court could find that Owner is liable to Shopper?
Which type of unemployment is most likely to fall as a result of government policies that stimulate aggregate demand? The natural rate of unemployment never changes. Changing the discount rate is a tool of fiscal policy. Government demand-management ..
In the text, we considered a sequential move game in which an entrant was considering entering an industry in competition with an incumbent firm. Consider now that the entrant, if fought, has the possibility of withdrawing from the industry (at a los..
In the past year, oil prices have plunged from more than $100/barrel to less than $50/barrel. What impact has this had on OPEC and other oil producing nations? What's the benefit to consumers and manufacturers?
In the small town of Springfield, Duffman observes that the price of beer has fallen. Duffman concludes that the total amount of money spent buying beer has to fall since the price of beer is lower.
[Adverse Selection] A buyer wants to purchase a house from a seller. Let v be the quality of this house. The quality v is known to the seller but unobservable to the buyer. The buyer thinks that the possible values of v are $10k,$100k,$150k,$200k and..
Graph and label the Lorenz curve for a country in which 1/4 of the population earns 3/4 of the income, 1/2 of the population earns 1/10 of the income and 1/4 of the population earns 3/20 of the income. Assume that every individual within each class h..
We do, however, have free trade in corn, which is fermented and distilled to make ethanol, and accounts for approximately 55% of the cost. Elucidate the effective rate of protection on the process of turning corn into ethanol.
Consider that two countries, Brazil and Argentina, have the same rates of investment, population growth, and depreciation. They also have the same levels of capital per worker.
We see that monopolist internalize the effect of its production on prices, which leads to a contraction of output. Explain why giving the monopolist flexibility to employ nonlinear pricing schemes can undo this problem?
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