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A country with a civilian population of 120000 (all over age 16) has 100000 employed and 10000 unemployed persons, of which 5000 are frictionally unemployed and another 3000 structurally unemployed.
A. What is the size of the labor force?
B. What is the actual unemployment rate?
C. What is the labor force participation rate?
D. What is the employment/population ratio?
E. What is the natural rate of unemployment?
F. Is this economy in a recession or a boom? Explain.
Recent increases in rents have caused the citizens of Elmville to vote for a rent ceiling of $1200. Assuming all rental units in Elmville are identical and the supply and demand for rental units are given by Qs = -1000 + 20P Qd = 50000 - 10P
What is Shelly's marginal rate of substitution when L = 100 and she is on her budget line? (c) What is Shelly's reservation wage? (d) Find Shelly's optimal amount of consumption and leisure.
Setup a two-variable regression model (i.e. write down the PRF) to examine the impact of per capita disposable income on real per capita gasoline expenditures.
An alternative for manufacturing a certain part has a first cost of $50,000, an annual cost of $10,000, and a salvage value of $5,000 after its 10 year life. At an interest rate of 10% per year, what is the capitalized cost of the alternative
Director of marketing at Vanguard Company believes that sales of the corporation's Bright Side laundry detergent (S) are related to Vanguard's own advertising expenditure,
Assume that the marginal cost (supply) of influenza vaccinations is constant at $40. Assume that everyone in society has health insurance that pays 80% of all medical services, including flu shots. Assume first that the flu is not contagious. Defi..
over the last 10 years, the hurdle or discount rate for projects from the firms research and development division has been 10% twice, 15% three times, and 20% the rest of the time. There is no recognizable pattern.
Suppose that market demand is given by P = 260 - 2Q and that firms again have a constant marginal cost of 20, while incurring no fixed cost, but now assume that the firms are Bertrand competitors and have unlimited capacity.a. What is the one-peri..
The price that consumers are willing and able to pay for this outputis $40 per unit. If it priduces this output, the firms average total cost is $43 per unit, and its average fixed cost is $8 per unit.
Valtro Electronic Systems, Inc. set aside a lump sum of money 4 years ago in order tofinance a plant expansion now. If the money was invested in a plant expansion now. If money was invested in a 10% per year simple interest certificate of deposit.
Suppose Mary earns $13 an hour installing transistorized digital chips in electronic calculators. If you were unemployed, would you offer to work for $8 an hour to get the job Why might a profit-maximizing employer turn down your generous offer
Suppose that every additional five percentage points in the investment rate (I/GDP) boost economic growth by one percentage point. Assume also that all investment must be financed with consumer saving.
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