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Describe how the price system answers the five fundamental questions of economics, and discuss at least two of the short-comings of the capitalist price and market system.
An individual has to choose between investment A and investment B. The individual estimates that income and probability of the income from each investment are given in the following table (a) Using Excel's statistical tools, calculate the standard..
Assume that the initially equilibrium was 200 units and that this was also full employment level of income. Suppose that the consumption is C = 25 + 0.8YD,
Compute the linear function equation if drink consumption is a linear function of the number of students.
You are the manager of College Computers, a manufacturer of customized computers that meet the specifications required by the local university.
Oil and gasoline prices are a concern in the United States. Why does this economic problem exist from a supply and demand perspective, what can be done to improve resource allocations, and what can government do, if anything
Illustrate what is the Laspeyres price index. Calculate ideal and Laspeyres indices.
Suppose that it is known that labor receives 25% of national income. With a Cobb-Douglas production function and an initial level of real GDP of $10,000, what happens to real GDP if both capital and labor double?
Discuss the determinants of varying levels of income, the factors which determine a person's wages and if these qualifications always hold true.
In response to pressure from environmentalists the government now tightens the maximum damage standard to 4 units. How much fertilizer will farmers use now? What will their profit be? What is the net societal benefit? What is the value of ??
Because inflation targeting focuses on achieving the inflation target, it will lead to excessive output fluctuations. Is this statement true, false, or uncertain? Explain your answer.
Illustrate what is the difference between a movement along and shift of the demand curve. Show the impact on the equilibrium price and quantity that results.
What is the monopolist's profit maximizing price c) What is the profit maximizing quantity for this monopolist d) How much profit is the monopolist making e) Suppose the market is no longer depicted by a monopoly, but has become perfectly competiti..
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