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Consider the utility function U(X,Y)=30X^.8 Y^.2.
–For the points X = 1, 5, 10, and 20 find the Y such that the pair (X,Y) lies on the indifference curve associated with U = 10.
–Explain why these points are unique on this indifference curve. Please use at least 3 properties of indifference curves and any of the assumptions regarding utility to justify your response. Your response should include graphs.
tate in words and show with a graph the effect of the following events on equilibrium price and quantity of the market given. Assume you live in an economy that has a population of 2,000,000 people over the age of 16. The labor force in your economy ..
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Use a model of the money market to explain why changes in nominal or money GDP are associated with changes in interest rates.
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INB60003 International Trade And Investment. Critically analyse the main trends of International Trade and Investment justifying forecasts and predictions into the future. Critically analyse the relevance of trade in the global marketplace identifyi..
Maintenance expenses for a bridge on a local river are estimated to be $30000 per year for the first 10 years,followed by two separate $80000 expenditures in years15 and20.The expected life of the bridge is 30 years.ifi=7% per year, what is the equiv..
Suppose there are 100 firms in a perfectly competitive industry. Each firm has a U-shaped, long-run average cost curve that reaches a minimum of $10 at an output level of 8 units. Marginal costs are given by MC(q)= q+2 and market demand is given by Q..
Some have argued arranging the takeover of Bear Stearns, where stockholder values were virtually wiped out in the fall of 2008, helps with the time consistency problem inherent in Fed policy. Explain why this could be true and a potential hazard of t..
Show the short and long run effects of a monetary expansion in this situation in the AD/AS model. You can omit the labor market and production function graphs and you may assume sticky prices for SRAS.
two firms are planning their market strategies. firm k can earn 25 million in profits from strategy s if firm l
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