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Preclusion of borrowing in the Ramsey model. Consider the household optimizationproblem in the Ramsey model. How do the results change if consumers are not allowedto borrow, only to save?
One aspect of obtaining a college education is the prospect of improved future earnings in comparison to non-college graduates. Sharon Shay estimates that a college education has a $28,000 equivalent cost at graduation.
Two cournot duopolists produce in a market with a demand P(Q)=100-Q. The marginal cost for Firm 1 is constant and equals 10. The marginal cost for Firm 2 is constant and equals 25. The two firms want to merge, which would leave a monopoly.
Jehello has defaulted on its bank loans and the bank is suing you, saying that the financial statements presented last year were false and misleading.
A local dealer is advertising a 24 month lease of a sport utility vehicle for $520 payable at the beginning of each month. The lease requires a $2,500 down payment plus a $500 refundable security deposit. As an alternative, the company offers a 24..
Suppose that the economy starts at equilibrium and the mpc = 0.8. What would be the effect of a 500 increase intaxes once all the rounds of the multiplier process are complete
A company is considering replacing its asphalt parking lots with concrete, at first cost of $1,200,000, and an annual maintenance cost of $15,000. Another option is also available, which is resurfacing the parking lots with asphalt with a first co..
skilled technicians using equipment produced by two leading competitors in the medical equipment industry. Records for the current year show an average of 24 tests per hour performed on the A-1, and 51 tests per hour on a new machine, the Caltec.
The Charlotte Bobcats, a professional basketball team, has been offered the opportunity to purchase the contract of an aging superstar basketball player from another team. The general manager of the Bobcats wants to analyze the offer as a capital ..
Which of the two specifications fits the data better? How can you tell? What is one advantage of running a logit regression instead of estimating a linear probability model with OLS?
the new mayor has pledged to reduce air pollution and the only source of air pollution in the city are two cement
2 former students worked in an investment bank at a salary of $60,000 each for 2 years after they graduated. together they saved $50,000. After 2 years, they decided to quit and start a business.
During this holiday, he gave his first Fireside Chat, a radio address where he explained his policies to the American people in plain language. After the four-day holiday, he still kept one-third of all U.S. banks closed (mostly small farmer banks..
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