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Question: The Environmental Protection Agency asks you to help them understand the causes of urban pollution. Air pollution problems are worse the higher the Air Quality Index. You develop the following two hypotheses. Hypothesis I: Air pollution will be a greater problem as the average temperature increases in the urban area. Hypothesis II: Air pollution will be a greater problem as the population increases in the urban area.
- Test each hypothesis with the facts given in the following table. Which hypothesis fits the facts better? Have you developed a theory?
Beef supplies are sharply reduced because of drought in the beef-raising states, and consumers turn to pork as a substitute for beef. How would you illustrate this change in the beef-market in supply-and-demand terms?
Suppose that the airplane can be purchased from an outside supplier. What is the relevant unit cost for this make-or-buy decision.
Because net exports are counter-cyclical, analyze how the following change during an economic expansion: Consider the case in the context of a flexible exchange rate and a fixed exchange rate.
The CEO of a major automaker overheard one of its division managers make the following statement regarding the firms's production plans:
What is the impact of trump and Obama's economic policies on the business opportunities for US based global firms, such as Apple, IBM etc?
- When income is $10,000, consumption spending is $6,500 - When income is $11,000, consumption spending is $7,300 Then, the multiplier for this economy is? (please show work, that would be great.)
There are two types of borrowers, A and B. They each need a $10 loan but the bank cannot observe type. Type A always repays her loan but Type B only repays his loan with probability 0.82. If the bank figures that each type is equally likely to ..
Elaborate on the concept of Technology changes & innovation with reference to economics- How does Technology affect costs and profit? Give examples. What is Value of information in promoting economic process in general?
Provide a general explanation of data trees. Then, select two specific types of data trees and compare them. For this Discussion, you should provide at least one type of data tree that has not yet been posted by a colleague.
Work out the effects of the following changes on 1. International price of bananas 2. Output of both goods in both countries.(Show the changes in world relative supply and demand curves and the PPF of each country).
What are the methods or basic concepts of describing project risk? Explain the definitions and brief ideas of each method (The answer should be between 150-200 words).
Determine whether returns to scale are decreasing
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