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1. How does the Gini ratio relate to the Lorenz curve? Why can't the Gini ratio exceed 1? What is implied about the direction of income inequality if the Gini ratio declines from 0.42 to 0.35? How would one show that change of inequality in the Lorenz diagram?
2. Why is the lifetime distribution of income more equal than the distribution in any specific year?
Explain how the market system provides a strong incentive for technological advance and creative destruction. Within your answer, provide 3 virtues of the market system. How does the circular flow model fit into this discussion. Please be specific..
Damaged goods and obsolete items have been properly accounted for.
The consultants of Allcare Family Clinic (AFC) have determined that if the clinic hires two more practical nurses, without any other changes in its operation, it can increase the number of patients it treats during a week from 200 to 220.
What is the current stance of monetary policy? (Note that policy will be described in terms of increasing or decreasing the federal funds rate as opposed to increasing or decreasing the money supply.)
According to the Census Bureau, 3.20 people reside in the typical American household. A sample of 26 households in Arizona retirement communities showed the mean number of residents per household was 2.86 residents.
the comparative banking assignment on market power.you works for a leading consulting company who are advising the
Computers are sold competitively. Each computer, such as a Dell or Compaq, contains an operating system, such as Windows, that is pre-loaded on the computer. Suppose that the price of computers is $2000, and the price of an operating system is $10..
Using the documents determine why was it Europe, and not anyone else, who explored and conquered the Americas?
The Richmond Company uses the weighted-average method in its process costing system. The company has only a single processing department. The company's ending work in process inventory on August 31 consisted of 18,000 units.
A business invested $12,000 in a piece of equipment which helped reduce labor costs by $2,000 annually and reduced rejects by an estimated $1,800 annually. After 5 years, the machine has to be replaced by a new machine for the same cost.
Throughout this problem (except where explicitly indicated), assume that demand for the product is perfectly inelastic at a single unit and that everyone is risk-neutral. Rather than putting equal weights on the profits of the firm and consumer we..
Draw an aggregate demand and supply diagram for Japan.
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