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1. Select an article from The Wall Street Journal or some other business or economic periodical that relates to the economic topic(s) covered in Workshop Three.
2. Prepare a one to two page analysis of your article . Be sure to include the topic, the author’s main point or argument, and your analysis of the author’s conclusions.
Topic: Supply and Demand
In the short run the typical company increases its output but its total cost also rises. Hence, the effect on the company 's profit cannot be determined without more information.
Explain the concept of liability of foreignness, and discuss how it might affect the balance between the costs and benefits of international diversification.
Consider a company that produces dog toys. The only resources that the company uses to produce these toys are Capital (i.e. machines and raw materials) and Labor (i.e. workers). The company sells 10,000 toys a month at $100 per toy. Write down the to..
In the summer of 2010, Congress passed a far-reaching financial reform to prevent another financial crisis like the one experienced in 2008-2009. Consider the following possibilities: Show the consequences of the policy in this situation on a new gra..
Machine A was purchased three years ago for $10,000 and had an estimated market value of $1,500 at the end of its 10-year life. Annual operating costs are $1,250. The machine will perform satisfactorily for the next seven years. what is the differenc..
The AD/AS model is useful in predicting the effects of various shocks and policy changes on an economy. The model is based on goods and services being exchanged in well-functioning markets. In general, however, markets are not always perfect. How wou..
Suppose there are two goods, labeled x, y. A consumer has a budget of w = 220. Suppose the following two consumption bundles: (x = 4, y = 10), (x = 6, y = 4) all cost the consumer 220. What’s the price ratio between the two goods? Namely what’s py px..
Income elasticity of demand is expected to be _____.
Explain the statement that "an individual bank has little ability to expand the money supply unless all the other banks expand in step". Does that simply because a conduct of one single bank cannot change the aggregate money supply?
In the text, we considered a sequential move game in which an entrant was considering entering an industry in competition with an incumbent firm. Consider now that the entrant, if fought, has the possibility of withdrawing from the industry (at a los..
The initial cost of constructing a flood control dam is estimated to be $5 million, with annual upkeep costs of $499,526. Annual benefits (e.g., reduced flood damage, agricultural development, and tourism, etc.) are expected to be $1.25 million, wher..
The people who support restricted international trade say that
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