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Suppose that the depreciation rate increases in the Solow growth model. Using a diagram, determine the effects of this on the quantity of capital per worker and on output per worker in the steady rate, Explain the economic intuition behind your results.
Why are heteroscedasticity, multicollinearity and serial correlation a problem in regression model reliability?
If Jud offered the Krauses one price and inadvertently typed a different, higher price into the contract, can Jud be held to the typewritten amount?
A person should consume more of something when its marginal A. cost equals its marginal benefit. B. benefit is still positive. C. cost exceeds its marginal benefit. D. benefit exceeds its marginal cost
Based on the date provided through the U.S. Department of the Treasury, is the public devt of the US government increasing or decreasing? What impact will this trend have on the budget of the federal government and on the U.S. economy as a whole?
Suppose that inverse demand is given by p(Q) = a-bQ, where Q is total quantity supplied in the market. There are two firms in the market, each with a cost function of c(q) = cq. If we were to assume that firms competed in prices instead of quantities..
When medical care is reimbursed through employer provided insurance whose welfare is ultimately affected when cost of medical care rises: the owners of the firm that pays the premiums, the government whose revenues are reduced because insurance benef..
Given the recent events in the US Airways and American Airlines merger, one has to wonder, is the airline industry monopolistic? Which is worse, monopolies or competition? Explain your answer
A firm’s short-run cost function for the production of gizmos is given by the following expression: C(y) = 10y2 + 200y + 100 000 a. Calculate the range of output over which it would be profitable for this firm to produce gizmos if it can sell each gi..
The best test of the performance of two different regression equations is their respective values of the coefficient of determinations. Equations that perform well in explaining past data are likely to generate accurate forecasts.
In 2008, the price of crude oil (per barrel) set an all-time record of approximately $147 and then sank to near $40 by the end of the year. Since crude oil is a resource that is used in many industries, how would these changes in price impact of 3..
Suppose that, for a firm that digs ditches for laying cable or pipeline, backhoes and backhoe operators are pure complements in production, being used on a one-for-one basis. Now consider one such ditch-digging firm that has five backhoes but employs..
Discuss why countries create barriers to trade when economic theory shows trade as being beneficial to a nation. Who benefits from international trade? Who loses from international trade? How can the negative effects of the failures from internationa..
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