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Tom told Mary that the unemployment rate decreased last month by 0.2 percent to 5.9 percent. Mary said that the decrease in the unemployment rate is not good news because it was due to a fall in the participation rate. Explain what Mary means when she said that the fall in last month's unemployment rate is not good news.
Should sports leagues be allowed to remain as cartels? More than 100 years ago, the American legislative leaders decided that it was necessary to pass laws prohibiting "...any combinations or conspiracies in restraint of trade."
Midwestern power companies generate much of their electricity by burning coal. Tall smokestacks, required because of concerns about local pollution, carry the sulfurous smoke high into the atmosphere. How will the proposal affect the welfare of peopl..
Consider an investor with preferences given by the utility function U = E(r) – 0.5Aσ2 and there are two portfolios with the following characteristics: Portfolio A Portfolio B E(r) = 0.06 E(r) = 0.10 σ = 0.07 σ = 0.17 (a) suppose that the investor has..
A small city in Indiana has two residents, who are lucky enough to have a municipal golf course in their city. The marginal benefit of playing a round of golf for the first resident is given by MB1=70-5Q1, and the marginal benefit of playing golf for..
Elucidate the reasoning for your vote based on the four steps of risk assessment. Consider any relevant political, social, and economic aspects involved.
Assume that wages and prices are sticky and that we start at a long-run equilibrium. Assume that at this initial point, the growth rate of the money supply is 6%, the growth rate of the velocity of money is 2% and that the real economic growth rate i..
List the four dimensions of opportunity management. How would you describe your time management skills? List the four time-saving techniques used by time-conscious people and describe how you can use each to increase your time management.
M1 money growth in the U.S. was about 16% in 2008, 7% in 2009 and 9% in 2010. Over the same time period, the yield on 3-month T-bills fell from almost 3% to close to 0%. Given these high rates of money growth, why did the interest rates fall, rather ..
How much money should you invest in a fund that will pay 8% compounded monthly, if you want to have $40,000 in the fund at the end of 20 years?
Why are poor countries poor and rich countries rich. Illustrate what are the main ingredients for economic growth.
1. There are three economic actors in our circular ?ow model: households, ?rms and markets.
The different forms of globalization have no effect on one another. The modern state emerged following the American Revolution. There are six identifiable waves of globalization. The integration of European Union countries was a key issue in the 2011..
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