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For the Pittsburgh Development Corporation problem in Section 4.3, the decision alternative to build the large condominium complex was found to be optimal using the expected value approach. In Section 4.4 we conducted a sensitivity analysis for the payoffs associated with this decision alternative. We found that the large complex remained optimal as long as the payoff for the strong demand was greater than or equal to $17.5 million and as long as the payoff for the weak demand was greater than or equal to 2$19 million.
Consider the medium complex decision. How much could the payoff under strong demand increase and still keep decision alternative d3 the optimal solution?
Consider the small complex decision. How much could the payoff under strong demand increase and still keep decision alternative d3 the optimal solution?
What variables cause the long run aggregate supply curve to shift? for each variable , identify whether an increase in that variable will cause the long run aggregate supply curve to shift to the left or right
why soft selling can serve as a successful signal of the quality or usefulness of the new accounting system.
The major assets on a banks balance sheet are its
How did slavery impact the economy in the South and the North differently
Determine the optimal bundle of x1 and x2 given the stated prices and income using one of the methods we went over in class.
A number of Latin American nations export coffee and import other goods. A long-term drought now reduces coffee production in the countries of this region. Assume that they remain exporters of coffee. Explain why the long-term drought in the region m..
1. Define business cycles. How is national debt affected by business cycles?
Conflicts of interest are an ethical problem for a business because they _______. One of the biggest issues in consumer privacy is when _______. Which of the following is the best definition of privacy?
The opportunity cost of producing capital is. A marginal revenue product curve shows the change in. Vertical integration has no effect on the internal organization of a firm; it only affects the outside markets. Publications such as Consumer Reports ..
Discuss the previous week’s objectives with your team. Your discussion should include the topics you feel comfortable with, any topics you struggled with, and how the weekly topics relate to application in your field.
The interest rate is 25% (0.25), and there is no inflation. Illustrate what is Mandy's optimal consumption in period 1.
The cyclical rate of unemployment can be negative, which implies that the business cycle sometimes produces too little unemployment. How can there be “too little” unemployment for the health of the economy? When the one million quit looking for jobs,..
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