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“The law of demand says that when the price of something falls, more should be consumed. But when the price of a vacation falls, I still just take one vacation per year.” How does the law of demand fit in this circumstance?
What was the absolute amount of increase in real income? - Make your calculations of the percentage change in real income and the absolute change in real income using the approximation formula and using the more precise method with index numbers.
Which of the following did Phillips discover?
Maintenance expenses for a bridge on the ohio river are stimated to be $20,000 per year for the first 8 years, followed by two separate $100,000 expenditures in years 12 and 18. the expected life of the bridge is 30 years. If i=6% per year, what is t..
1. discuss the pros and cons of central banks setting policy based on rules as opposed to setting policy based upon the
The market supply curve is the curve that summarizes:
Estimate and explain how the electrical monopolist would determine its profit-maximizing price and output level.
The process of being served at a bank consists of two parts—the time waiting in line and the time it takes to be served by the teller. What is the standard deviation of the total time (X+Y) it takes to be served at the bank?
Suppose the current price of oil is $120 per barrel. At its next meeting, OPEC decides to increase crude oil production by 10%. Assume that OPEC accounts for 40% of the world's supply of crude oil and no other nation changes its oil production during..
Tony Taxpayer earns $2000 in income. Income is taxed at 20%. Tony can underreport his income to the IRS and pay taxes only on the amount he reports, but should he be audited, the IRS will impose a surcharge of 200% on his unpaid taxes; Calculate Tony..
According to the law of increasing opportunity cost,
Consider smoking in a classroom, where students have the right to clean air. What types of externality does smoking in a classroom convey? Explain. How could this externality be solved according to Coase Theorem? Explain. How would it be solved using..
Suppose the price of clerical time remains at $7.50 per hour. How high would the price of an hour of computer time have to be before the firm would find it worthwhile to use only clerks to process the payroll?
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