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Calculate a price index for 2005, 2006, and 2007 using the following information about prices. Let the market basket consist of one pizza, two sodas, and three video rentals. Let the year 2005 be the base year (with an index value of 100).
How much inflation occurred between 2005 and 2006? Between 2005 and 2007?
in what ways have these firms been affected?
Explain how a Federally funded project might be wasteful from a national perspective, yet still be highly beneficial for a specific city or state.
Assume that Mamma's produces frozen pizzas in a competitive market and it knows how to maximize profit. It's marginal and average total costs are shown in the curve to the right. a) Suppose that other pizza producers are selling their product at $5..
Nearby College has done a study of college enrollments and has concluded that the number of students in the fall term is give by Q = 5000 - .5T + .1Y + .2Tc Where Q = number of students enrolled full-time, T = tuition charged by Nearby, Y = national..
If the U.S. government implements an expansionary fiscal policy, explain what will happen to the exchange rate between the pound and the dollar and show this on a graph. Has the dollar appreciated or depreciated relative to the pound? Explain.
Plot the level and first difference of lnrgdpaus and briefly comment on the graphs and obtain the sample correlograms of the level and first difference of lnrgdpaus for 20 lags. What do they suggest to you?
Write down the formula for Teter's demand curve for X when the price of Y is 10 and his income is $100. Note the formula will have multiple pieces.
How much economic profit do you expect that Robert's company will make in the first year?
suppose two types of consumers exist, a more affluent group (1) with an estimated price elasticity for biscuits of -2 and a less affluent (2) with an estimated price elasticity for biscuits of -2.5. Pillsbury puts a posted price of a particular amoun..
Suppose demand for HP printers is estimated to be Q = 1000 - 5p + 10pX - 2pZ + 0.1Y. If p = 80, pX = 50, pZ = 150, and Y = 20,000; answer the following: a) What is the price elasticity of demand for HP printers
The firm's production manager claims that the firm's average cost of production is minimized at an output of 40 units. Furthermore, she claims that 40 units is the firm's profit-maximizing level of output. Explain whether these claims are correct.
Use math or figures to explain why a shopper's average costs are lower when buying at a single supermarket than from many stores. (Hint: Define the goods as the items purchased and brought home.)
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