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Suppose the Farsighted Forecasting Group, an organization of private economists, predicts that the output gap will fall by 4 percent over the next year. According to Okun's Law, by how much is the unemployment rate likely to rise?
A new alloy can be produced by Process A, which costs $200,000 to implement. The operating cost will be $10,000 per quarter with a salvage value of $25,000 after its 2-year life. Process B will have a first cost of $250,000, an operating cost of $..
A purely competitive wheat farmer can sell any wheat he grows for $10 per bushel.His five acres of land show diminishing returns, because some are better suited for wheat production than others. The first acre can produce 1000 bushels of wheat, the..
Compute estimated attendance for a Sunday game, during week 3, with an average ticket price of $40, if the team's winning percentage is 100%.
The initial price of a cup of coffee at a local gas station on is $1, and at that price, 400 cups are demanded each day. If the price falls to $0.90 a cup, the quantity demanded will increase to 500 cups a day.
This years weather was favorable throughout the country, and this years crop will be 110 million bushels, or 10 percent larger than last years. The price elasticity of demand for corn is 0.50.
suppose the airline is offered $4,000.00 per week to haul freight along the route for a local firm. This will mean replacing one of the weekly passenger flights with a freight flight (at the same operating cost). Should the airline carry freight f..
Consider the following exchange economy with two consumers and two goods. Consumer 1 has utility function u(x,y) = x1/2 y1/2 and initial endowments (ex,ey)=(1,0). Consumer 2 has utility function u(x,y) = x2 y and initial endowments (ex,ey)=(0,1).
If the growth rate of real GDP were to continue at the same rate you have calculated, how many years would it take for real GDP to double Assume the population in 2009 was 100 and 200 in 2010. Calculate real GDP per capita in each of these years.
Suppose honey is produced in a beehive using bees and sugar. Each honey producer uses one beehive which she rents for $30 per month. Producing q gallons of honey in one month requires spending 5q dollar bees
Which changes to fiscal stimulus package of 2009 for $862 billion (under the bill called American Recovery and Reinvestment Act of 2009) would have a larger overall impact on AD. Explain your answer in a paragraph or two with credible logics and a..
What would be the profit of a new entrant if the subsidy is eliminated and Barnacle continues to produce the monopoly level of output?
What are the key macroeconomic indicators in your country now?
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