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Q1. An average department store sells 350 men's suits every year. The men's suit departments at a particular national chain of stores claim that they sell more than the average of industry. Take a sample of 40 stores; 370 suits every year they sold on the average with a standard deviation of $60. What is the test value for this hypothesis?
Q2. Compute the slope of AE curve and the size of the multiplier if MPC=0.75. Then, Compute the revised slope of the AE cure and the multiplier when you know that the imports and the marginal tax rate will reduce the slope of the AE curve by another 0.30
Describe the magnitude of crowding-out that results from the above fiscal expansion .Show the transition dynamics that results.
Explain the difference between accounting profit and economic profit. Which should business owners be more concerned with and why? Provide an example that would illustrate how accounting profit and economic profit differ.
Suppose that a security costs $3,000 today and Pays off some amount b in one year. Suppose that B. is uncertain according to the following table of Probabilities:
q. assume the industry demand for a product is p 1000 - 20q. assume that the marginal cost of product is 10 per unit.a
Sam sells property to Betty and delivers Betty a deed that says "This property is conveyed to Betty so long as she never operates a bar on the premises." If she operates a bar on the premises, Sam Seller may take possession of the property.
Describe perfect competition and long-run equilibrium. Provide detailed descriptions, definitions and concrete examples of your findings.
Discuss why demand curve faced by a Perfect Competitor is assumed to be perfectly elastic and that of a Monopolist less elastic.
Suppose that people expect the Fed to hit its inflation target. A: Calculate the optimal money growth rate needed for the Fed to hit its inflation target in the long run.
Elucidate how does knowledge of price elasticity among different groups of clients or for various products enable managers to price discriminate or change different prices for these groups.
Illustrate what variables other than cost appear to have the biggest impact on the demand products
Explain how much will your firm's total revenues (revenues from both products) change if you increase the price of good X by 1 percent.
Economic surplus could be increased at a higher price because firms would generate more revenue.
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