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A young couple is purchasing a new sport utility vehicle. The price of the new vehicle is $28,300, sales tax is 7.5%, title and registration will cost $105. The dealer is offering a special finance rate of 1.9% APR for 36 months (compounded monthly). The couple will pay $10,000 cash for a down payment. What will their monthly payments be?
Elucidate what would be the immediate and long run effects on c, k, and y. Explain by drawing the path of these variables. Consider that you impose the new saving rate.
All this is known to both players. Suppose both players behave according to the level-k thinking model discussed in class. Two players simultaneously guess a number.
Suppose the entire civilian labor force is 20,000 people and the number of unemployed is 2,000 people.
If the government passes a law requiring sellers of mopeds to send $200 to the government for every moped they sell, then
Explain how firm could employ computed elasticities in its pricing and marketing decisions. Which of se variables have statistically significant relationships with sales.
If there were only one seller, illustrate what would be the equilibrium price and quantity.
A bookkeeper makes a significant posting error, which she later discovers and corrects. In fear of losing her job, she does not report the mistake to her supervisor. How should the employee have handled this situation and what should the supervisor d..
Suppose the two newspapers merge. Illustrate what is the likely post- merger bargaining outcome.
Alejandro scoobert owns a store specialization in soccer jerseys. Illustrate what was the value added to Alejandro store in 2008.
Illustrate what are the optimal prices for each product if you sell these products separately. What are your firm's profits. Explain.
Suppose a monopoly can produce any level of output it wishes at a constant marginal (and average) cost of $5 per unit. Assume the monopoly sells its goods in two different markets separated by some distance. The demand curve in the first market is..
Which of the following possibilities is consistent with the property of diminishing marginal product.
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