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Inara Serra earns substantial funds in exchange for Companionship. A politician requests her company for three weeks for a fee of $20,000 per week.
If she agrees to this arrangement, how much money should she have in 3 years from this one transaction, given a prevailing interest rate of 6%?
Give an example of an externality that you have personally experienced. What makes it an externality? Is it possible for the government's solution to market failure actually make the failure worse? Explain using examples.
Explain why each of following is or is not a valid probability distribution for a discrete random variable x: See p.183-84. 4.16 Toss three faircoins and let x equal number of heads observed.
q.many developing countries in the global south turned to socialism in the past as a means to solve their economic
Suppose that the Organization of Petroleum Exporting Countries (OPEC) raises oil prices by 50%. What effect will this have on the U.S. aggregate demand curve? On the U.S. short-run aggregate supply curve?
The area-dependent cost of a solar energy system is $175/m2 and the area-independent cost is $3, 350. The down payment of the initial expenditure is 25% and the rest is paid in equal installments over 20 years at an interest rate of 7%.
Tight (contractionary) money policy
Between early 2008 and the beginning of 2009, a gradual stock-market downturn and plummeting home prices generated a substantial reduction in U. S. household wealth that induced most U.S. residents to reduce their planned real spending at any given p..
Discuss using an example what are public goods and why does it lead to a free rider problem. Why is fishing in the ocean, where there are no well-defined property rights, a concern regarding our ability to ensure sustainable use of our fishing stock?..
Elucidate the factors that affected labor demand and labor supply in the chosen historical example.
Using your knowledge of production function, discuss how low interest rates may have helped economic growth. Why do you think we still have high unemployment? Why aren’t wages increasing? If you were to advise policy makers on economic policies, what..
What are price indexes design to measure? Out-line how they are constructed. When GDP and other income figures are compared across time periods?
How much control might an organization have over pricing based on a product's elasticity. Discuss which of elasticity rules you used to determine your answer.
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