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A $1 million, ten-year term life insurance policy for a fifty-year old male in Massachusetts costs around $1,200 per year. The same policy for a female costs around $980 per year.
Explain why life insurance for a female costs less than for a male.
Suppose the government were to pass a law requiring insurers to offer the same prices for men and women. What effect would you expect this to have on prices and insurance coverage? How would this affect social welfare?
lean burgers drive through receives 20 customers in every ten minutes of business time between 1200 - 100 pm during
A trader sells a 2-month call option contract on 100 shares of a stock with strike price $50. The price of the option is $5. Suppose the options are held until the end. What is the trader’s profit if the stock price is $58 then?
When ECB went out for bail out then what was expected to happen to the interest rate in Greece? Comment on the expected outcome of this policy on behalf of ECB. Provide diagram and detailed explanation on output and prices. Explain why a group of eco..
Discuss two of the following statement. Assume the role of one of the five parties in the GLOBE Project Study case as you form your answers. Respond to at least two of your classmates’ postings.
Suppose people who are thinking about buying an existing home (demanders in the housing market) are current home owners who are thinking about selling their homes (i.e. suppliers in the housing market) suddenly believe that existing home prices are l..
Yasmine’s income this period is $500 and she is certain that her income next period is $300. The current market interest rate is 10 percent. She plans to spend exactly her current income this period and her future income next period, with no borrowin..
Why does Apple tightly hold on to the development of iOS but outsources some of the design and all the manufacturing of iPhone handsets?
Explain how do you expect the supply and demand of your selected good to change in the next year. Relate you expectations to the price and quantity of the good in the marketplace.
Suppose someone stated that the Heckscher-Ohlin model is best-suited for explaining trade between developed countries and developing countries, while newer theories such as those of Linder and Krugman are best-suited for explaining trade among develo..
You just opened a flower shop and are trying to understand pricing issues. You were told that elasticities are very important in determining prices and what products to supply, so you decide to investigate this concept. You call your friend, an econo..
Suppose that Michelle buys a cappuccino from Paul\'s Cafe and Bakery for $6.25. Michelle was willing to pay up to $8.75 for the cappuccino and Paul\'s Cafe and Bakery was willing to accept $2.25 for the cappuccino. Producer surplus is the difference ..
Suppose an industry is monopolized, and the demand for the product sold by the firm is given by: Q = 200 ? 4P. At what price range should the monopoly firm raise the price in order to increase revenues?
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