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Using the Solow growth model with no technology growth and no population growth, write the fundamental equation of capital accumulation per capita and plot the time series for capital per capita, output per capita, and consumption per capita when there is a one-off increase in the level of technology.
All else equal, a decrease in income taxes would be expected to
The characteristic that distinguishes a perfectly competitive market from a monopolistically competitive market is. Which of the following statements concerning market structure is not true?
A consumer has preferences represented by the utility function U(x1, x2) = ln x1 + x2 . Denote prices and income by p1, p2 and I respectively. Write the utility maximization problem and get the first order conditions. Solve the system of equations an..
The? Fed's liabilities plus coins issued by the Treasury make up the monetary base. ?Coins, which are issued by the Treasury are an asset of the Fed and a component of the monetary base. The monetary base is the sum of Federal Reserve? notes, coins, ..
A monopolist with a straight line demand curve finds it can sell one unit at $7 each or seven units at $1 each. It's marginal cost is constant at $6 per unit. A monopolist would produce how many units? And charge? A perfect competitor would produce h..
The demand for shoes can be expressed as Q = 100 - 10P., where Q is quantity and P is price.Using the midpoint method, what is the price elasticity of demand when the price of shoes goes from $5 to $6?
Some examples of tacit collusion include:
You are the manager of a small Canadian steel production firm operating in a perfectly competitive market. Two events have caught your attention recently:
At a restaurant that does not take reservations, people arriving at 7:30 normally have to wait for an hour, but some people arriving at that time give money to the hostess and are promptly seated. At another restaurant that takes reservations, there ..
A widget manufacturer has an infinitely substitutable production function of the form: q=4k+3L A.) Graph the isoquant maps for q=24, q=48, and q=60. What is the RTS along these isoquants? If the wage rate (W) is $1 and the rental rate on capital (R) ..
Brian has grown tired of paying rent each month to his landlord and has decided to purchase a condo. Brian has been saving money and has $51025.00 that he will use as a down payment on this condo. He will take out a mortgage to pay the remaining pric..
Assuming which the budget stays the same except for the interest on the debt for 10 yrs which will be accumulated debt
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