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Debt issued by Southeastern Corporation currently yields 12%. A municipal bond of equal risk currently yields 8%. At what marginal tax rate would an investor be indifferent between these two bonds?
Venus Computer can produce 23,000 personal computers a year on its daytime shift. The fixed manufacturing costs per year are $2 million and the total labor cost is $9,109,000.
If the demand for money depends positively on real income and depends inversely on the nominal interest rate, illustrate what would happen to the price level today if the central bank announces.
The Alpha Corporation is a member of the lamp industry, which is perfectly competitive. The value of a lamp is $50. The company's total cost function is:
The question is what is the maximum probability of last thing happening (-$10 million) that will induce the person to vote for action.
Suppose the number of points on an economics midterm (P) can be characterized by the following procution function: P=5H-4B; where H is the number of hours spent studying for the exam and B is the number of beers consumed the week before the exam.
Most practitioners presently update MRP weekly or biweekly. Would it be more valuable if updated daily, or even on a real-time basis.
Describe the point elasticity of demand with respect to advertisement
The company is risk neutral and so maximizes expected profits net of wages.
Assume the Federal Reserve purchased gold or foreign currency. How would this purchase affect the domestic money supply.
Assume a society manufacture only guns and butter. When it uses all its resources for the production of guns and operates efficiently, it can manufacture 240 guns a year.
Discuss three automatic expenditures in the federal budget. What is the difference between discretionary fiscal policy and automatic stabilizers?
A firm sells its product in a perfectly competitive market where other firms charge a price of $90 per unit. The firm's total costs are C(Q) = 50 + 10Q + 2Q2. a. How much output should the firm produce in the short run? b. What price should the fir..
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