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Muhammad Yunus is a Ph.D. economist and winner of the Nobel Peace Prize in 2006. He founded the Grameen Bank and was an innovator in using microcredit, or small loans- often of $100 or less-to spur growth in developing countries. "Yunus realized that very small loans to very poor people could make a big difference" in the ability of entrepreneurs in developing countries to start new businesses. Why would the funding to start small firms be more difficult in developing countries than in the United States? How do most entrepreneurs in the United States obtain funds to start new firms? Source: William Easterly, The White Man's Burden: Why the West's Efforts to Aid the Rest Have Done So Much Ill and So Little Good, New York: Penguin Books, 2006, pp. 58-59.
As we have learnt in the course aggregate demand is equal to C+I+G+(EX-IM) where the only difference with RGDP is that in the above equation I does not include accumulated inventories.
You own and operate a fruit stand. Your demand curve is given by P = .5 - .002Q, where P is in dollars and Q is in pounds of fruit. Your marginal cost curve is MC = .006Q. Your fixed costs equal $10.
a manufacturer is considering purchasing equipment, which will have the following financial effects: Year Disbursements Receipts If money is worth 6%, should he invest in the equipment?
suppose that there is a decline in the cost of a unit of capital. in the long runa. what will be the substitution
Which project would you select, calculating on the basic of the benefit-cost ratio on incremental investment - tourism project justifiable according to the benefit-cost analysis?
You need to hire some new employees to staff your start-up venture. You know that potential employees are distributed throughout the population as follows, but you can’t distinguish among them: What is the expected value of four employees you hire?
q1 define the following1- derivative2- swap3- commodities futures4- samurai bondsq2 differentiate between bulldog bonds
1. consider the production functionwhere q is total output k is the amount of capital used and l is the amount of labor
Imagine that you work for a midsize manufacturing firm as an accountant. You have just received a promotion that requires you to move across the country. Since this promotion comes with a hefty raise in salary (you will now make $85,000 a year), you ..
What is economic profit? How might it differ from accounting profit? Explain why firms that are making zero economic profit are likely to continue in business.
Assume that a firm is operatingin a purely competitive market and that its input-output relationship is of thefollowing form:
Returns to scale are about the relation between the size of a firm and its production. If you have a firm of a certain size and then increase all its inputs by the same factor, will then the total output also increase by the same factor.
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