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Explain, using appropriate diagrams, the short-run effects of cyclone Yasi on the profitability of banana growing firm and the industry (impact of any cost/price changes should be clearly illustrated and explained along with the assumption(s) you make)
All other things being equal, by how much will nominal GDP expand if the central bank increases the money supply by $100 billion, and the velocity of money is 3? Suppose now that economists expect the velocity of money to increase by 50% as a result ..
The efficient market hypothesis suggests that allocating your funds in the financial markets on the advice of a financial analyst
You are given the following figures on economic base: primary employment: 10,000; Secondary employment 30,000 A) Determine the ration B) a New Factory engaged in primary employment is moving into the base and intends to employ 250 persons. What are t..
1. Identify 3 businesses, corporations etc. which you feel most closely fit the definition of a monopoly. Be sure to include the 2 criteria that must be present to have a monopoly.
Adam Smith wrote about the "invisible hand' and was in favor of free trade. Michael Porter wrote about national competitive advantage. Discuss how these 2 theories are related. State and explain your stance on free trade based upon your understanding..
Kevin’s utility function is U(x, y) = x a + y b , where a ≥ 0 and b ≥ 0. What additional restrictions on the values of the parameters a and b are imposed by each of the following assumptions? Kevin’s preferences are homothetic. Kevin’s preferences ar..
As the manager of smith construction you need to decide on the number of homes to build in a new residential area where you are the only builder. How many homes should you build and what profits can you expect.
What is the purpose of constructing a brand bull's eye? Define value proposition. Pick one of these examples and discuss the difference in value proposition between the two alternatives.
Consider the following aggregate economic data regarding all the health care goods and services in a given country: Tylenol X-ray Physical therapy Year Price Aggregate expenditures. For each of these three health care goods and services, is the incre..
Consider two policies: a tax cut that will last for only one year and a tax cut that is expected to be permanent. The______ policy will stimulate greater spending by consumers. The______ policy will have the greater impact on aggregate demand.
Suppose that the U.S. dollars-Mexican pesos exchange rate is fixed by the U.S. and Mexican governments. Assume also that labor is mobile between the United States and Mexico due to low transportation costs. Which of the following situations is likely..
You borrow $42,000 and repay the loan with 6 equal annual payments. The first payment occurs one year after receipt of the $42,000 and you pay 8% interest compounded semiannually and annual payments are made over 6 years?
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