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Assume that a state government currently provides no child care subsidies to working single parents, but it now wants to adopt a plan that will encourage labor force participation among single parents. Suppose child care costs are hourly, and that the government adopts a child care subsidy of $4 per hour for working parents. Discuss the likely effects on labor force participation and hours of work.
Rubax, a United States producer of athletic shoes, estimates the following linear trend model for shoe sales:
A university planner wants to determine the proportion of spring semester students who will attend summer school. She surveys 32 current students discovering that 12 will return for summer school.
Abby consumes only apples. In year 1, red apples cost 1$ each, green apples 2$ each, and Abby buys ten red apples. In year 2, red apples cost $2, green apples cost $1, and Abby buys 10 green apples.
while costs are expected to increase from $20,000 in year 1 by $10,000 each year. If there is no salvage value at the end of 5 years, what is the annual equivalent worth of the project assuming a MARR of 12%
Run OLS to estimate the inverse demand function(P = f(Q)), determine how much confidence do you have in this estimated equation? Apply algebra to then find the direct demand function
the exchange rate between US-dollar and the euro is exactly 2 $/euro. At that time, a one-year US treasury bill yield an interest rate of 5%, while a similar German treasury bill yield 3%. Inflation during the year is expected to be 3% in the USA ..
In 1984, Walt Disney brought in Michael Eisner, a Paramount executive as CEO. The firm's board of directors agreed to pay Eisner a salary of $750,000 plus a $750,000 bonus for signing on, plus an annual bonus equal to 2 percent of ..
Determine national income (NI) for 2008 and what does national income tell us? Discuss the difference between GDP and NI?
Your loser roommate sits on the couch all day eating pizza and drinking beer. He doesn't have a job, and doesn't consume anything but pizza and beer. Every month, his parents mail him $300 and based on the receipts he leaves lying on the floor.
Assume that an individual consumes two goods, X and Y. The total utility (assumed measurable) of each good is independent of the rate of consumption of other good. The price of X and Y are respectively $40 and $60.
GKX Industries expects sales of its hydraulic seals (in inches and metric sizes) to increase according to the cash flow sequences $70+4k, where k is in years and cash flow is in $1000. What is the amount of the cash flow in year 3
The revenue and cost functions for producing and selling quantity x for a certain production facility are given below. R(x) = 16x - x2 C(x) = 20 + 4x a) Determine the profit function P(x). b) Use Excel to graph the functions R(x), C(x) and P(x) for t..
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