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Q. On January 1, 2009, Albert invested $1000 at 6 percent interest every year for three years. The CPI on Jan 1, 2009 stood at 100. On Jan 1 2010, the CPI was 105, Jan 1, 2011 it was 110, On Jan 1 2012, the day Albert's investment matured, and the CPI was 118. Find out the real interest rate of interest earned by Albert in each of the three years also his total real return over the three year period. Assume the interest earnings are reinvested each year also they earn interest.
What is the impact of a tax cut in an economy operating under a flexible exchange rate regime on household spending, interest rates.
A farmer has a production function f(L) where the input is capital (L). The cost of this loan is L(1+i). The farmer also has an outside option (loan from family member) which generates a profit of A.
We said that an uncrowned country club golf course has aspects of public good.
Assume Arturo is willing to trade 6 burritos to Dina for each 10 tacos which Dina produces also send to Arturo.
If there is a 10% decline in the cost of women's fur coats and a 25% increase in quantity demanded Illustrate what is the elasticity.
Does the lender gain or lose from this unexpectedly high inflation. Explain does borrower gain or lose.
Which he can trade at the going prices. He has no other source of income. Illustrate what is Nick's gross demand for x.
Use a model of the money market to explain why changes in nominal or money GDP are associated with changes in interest rates.
Mustard and mayonnaise are substitutes. Mustard and relish are complements. Mustard is a normal good. During the summer, about 50% of all mustard was recalled by manufacturers and removed from store shelves.
Each of the estimated coefficients statistically significant at the 95 per cent confidence interval. What is the optimal output level.
Would you advocate monetary restraint or stimulus for today's economy
Generally describing the business also include a plot of the Price also Quantity data that you obtained.
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