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Suppose an economy produces three goods: apple, orange, and banana. In 2015, the
Economy produces 1000 tonnes of apples, 2000 tonnes of oranges, and 3000 tonnes of banana, and the market prices (in 2015 dollars) are $3 per tonne, $2 per tonne, and $1 per tonne, respectively. In 2016, the production is 2000 tonnes for all three goods, and the market price (in 2016 dollars) is $2 per tonne for all goods. Now compute (a) real GDP for 2015 and 2016, using 2015 as the base year; (b) a GDP de?ator from 2015 to 2016, using again 2015 as the base year.
q. television channel operating profits vary from as high as 45 to 55 percent at mtv as well as nickelodeon down to 12
q.representative consumers have the utility function ucls lnc ln1- lsrepresentative consumers have labor endowment of
Increasing returns to scale in production means. The demand curve facing a price-making firm is. In the long run all production inputs are variable. Decreasing returns to scale prevail when output increases by a proportion that is smaller than the pr..
Suppose that EU imports of a food item from country A are regulated by means of a quota. Using appropriate diagrammatic analysis explain the welfare implications to EU from:
When entry occurs in a monopolistically competitive industry,
Suppose you have a cash flow that pays $10 in every period from time 16 to 50 and you face an interest rate of 10%. What is the present worth of this cash flow?
Why would you sell these items through retail stores, or would you try direct marketing.
Jane receives utility from two goods, goat’s milk (m) and strudel (s), according to the utility function: Show that increases in the price of goat’s milk will not affect the quantity of strudel that Jane buys; that is show: ∂s/∂pm = 0.
If at an interest rate of 7 percent, planned investment is $2 trillion, government spending is $3 trillion, net taxes are $2.8 trillion, and household saving is $2.2 trillion, what is the quantity of funds demanded at an interest rate of 7 percent..
Which of the following is the best example of a monetary target that a central bank might adopt as monetary policy conduct?
Romans utility function os U(x,y)=6xy. The prices of goods x and y are $12 and $15. The indifference curve is tangent to his budget constraint, where he is consuming 20 units of good x. How many units of good y must he be consuming?
What are the major theoretical rationales behind the ISI (import substitution industrialization) strategy? How do you evaluate its success and/or failure? What developments were responsible for its termination in most Third World countries?
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