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Q1. Susie purchased a non-refundable ticket to a soccer match for $20. It will cost her $10 worth of gas and wear and tear to drive to the match, and $5 to park her car. On the day of the match, Susie's boss offers her $100 to come to work instead. In considering what to do, which of the above would be considered a sunk cost?
Q2. Suppose Citizens Bank gives you a loan for $50,000 at i = 5% for 1 year at the end of 2013. Also suppose the inflation expectation for 2014 is 2%, πe = 2%.
a. How much will you owe (i.e., principle plus interest) Citizens Bank in nominal terms at the end of 2014? (Use simple interest as we have done in class.)
In a waiting line model situation, arrivals occur around clock at a rate of six per day and service occurs at one very three hours. Assume Poisson and exponential distributions. Illustrate what is Mean Arrival Rate λ
Why are trade agreements important for the various countries involved? How is international trade related to the U.S. standard of living as opposed to the standard of living of a small industrial nation
Explain how do you expect the supply and demand of your selected good to change in the next year. Relate you expectations to the price and quantity of the good in the marketplace.
Describe the benefits and costs associated with each type of externality. What happens to the Supply and/or Demand curve in each of your examples.
Given the difficulties which the regulation of public utilities faces that would it not is better to nationalize public utilities as several European countries have done.
Suppose that you have two people in an economy, Ms. Hundley and Mr. McKenna, who want to produce a public good S. Suppose we calculate the Lindahl equilibrium using the method in your textbook
Using the specific-factors model, elucidate why you might expect to see certain capital owners and labor groups arguing against expanding trade in a capital-abundant country.
Currently what indictors are evident that There is too much or too little money within the economy? How is monetary policy aiming to adjust This?
Cost of a part increases by 3$ every 6 months. If the cost for the first semiannual period is expected to be $85, what is the present worth of the cost for a 4-year time period at an interestrate of 1% per month?
Create an overview of the organization (history, type of product or service, type of organization, management style, organizational values, mission statement.
Illustrate what the reason which individuals households at some time in their lives spend more than they earn and at other times save some of what they earn.
Suppose that Lorena consumes only three different goods: steak knives, butter knives, and butcher knives. If, according to Lorena’s preferences, butter and butcher knives are inferior god, must steak knives be a normal good?
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