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Explain what "having a comparative advantage” at producing a particular good or service means. What does "having an absolute advantage” at producing a good or service mean?
If the mutual fund will average 9% annual return over the course of your career, explain how much can you expect at retirement.
During the process of properly conducting a pat down of a man for weapons, an officer felt an object, which might have been a rock of crack cocaine. The officer was not positive of the identity of the object she felt.
In a two year setting Rod has earnings of $ 8 000 this year and earnings of $ 25 , 0 00 next year. He can borrow or lend at an interest rate of 25%. Draw his budget line including endpoints. What is the slope of the budget line? What is the inter pre..
These three empirical observations are explained by ‘Preferred Habitat theory'. First, completely explain Preferred Habitat theory. Next, explain how this theory explains all three empirical observations.
ABC Company purchases a machine for $40,000, keeps it for six years and sells it for $5,000. During the time the machine was used by the company, O&M cost totaled $5,000 the first year, $6,000 the second year, $8,000 the third year, $9,500 the fourth..
The demand for cigarettes is price inelastic, but not perfectly inelastic. The supply of cigarettes is elastic, but not perfectly elastic. If there were no price controls or other complicating regulations, what would a model of supply and demand ther..
Consider an exchange economy with two consumers and two goods. The consumption sets of the consumers are R2+. Each consumer has the same utility function u(x1, x2) = min{x1, x2}. Provide a complete characterization of all the allocations which are in..
Bob views apples and oranges as perfect substitutes in his consumption, and MRS = 1 for all combinations of the two goods in his indifference map. Suppose the price of apples is $2 per pound, the price of oranges is $3 per pound, and Bob's budget is ..
Firm 1 and Firm 2 compete in an industry and must decide whether to introduce an upgrade to their existing products. The nature of the strategic interaction is described by the game box, where (Y) means “upgrade” and (N) means “do not upgrade”. Draw ..
General Cereals is using a regression model to estimate the demand as well as for Twee tie Sweeties, a whistle-shaped, sugar coated breakfast cereal for children.
Assume an increase in England’s economic growth. Holding everything else constant, we can expect:
Explain how much money will Pat have available to spend on her new computer after 1 year.
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