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Burlington Northern is considering the elimina- tion of a railroad grade crossing by constructing a dual-track overpass. The railroad subcontracts for maintenance of its crossing gates at $11,500 per year. Beginning 3 years from now, however, the costs are expected to increase by 10% per year into the foreseeable future (that is, $12,650 in year 3, $13,915 in year 4, etc.) If the railroad uses a 10-year study period and an interest rate of 15% per year, how much could the railroad afford to spend now on the overpass in lieu of the maintenance contracts?
A central city imposes a rent control law that places a binding ceiling on the rent that can be charged for an apartment. The suburbs of this city do not have aren't control law. What happens to the rental prices in the suburbs and to the equilibr..
Apple, determine how market commonality and resource similarity impact Apple's competitive standing in terms of its main rivals. Provide specific examples to support your response. Determine what additional steps Apple's competitors are likely to t..
suppose that it costs microsoft 100to develop a new version of microsoft office and that it costs microsoft 20 to
Presume that the dependent variable in your regression has a non-normal distribution, even after controlling for the x variables (In other words, MLR.6 is violated). Under what circumstances can the OLS coefficients and standard errors still are util..
the current inflation rate in year 0 in an economy is 18 and the current unemployment rate is 6. the natural rate of
the ncaa prohibits schools that are caught paying athletes from participating in bowl games and sometimes the
10. According to Solow's model of economic growth, what determines the rate at which a nation's income per person grows? Based on that model, what sort of public policies would be able to increase the growth rate of income per person? Give at l..
Describe the likely effect on demand curves for office visits to a physician as a result. What do you suppose will be the intended and unintended consequences?
Use the Mundell-Fleming model to predict what would happen to aggregate income, the exchange rate, and the trade balance under both floating and fixed exchange rates in response to each of hte following shocks.
Ronald owns a cattle farm at the source of a long river. His cattle’s waste flows into the river and down many miles to where Carla lives. Carla gets her drinking water from the river. By allowing his cattle’s waste to flow into the river, Ronald imp..
Define a dummy variable equal to 1 for years after 1979. Include this dummy in equation (10.15) to see if there is a shift in the interest rate equation after 1979. what do you conclude ?
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