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Two goods are purchased such that the marginal utility derived from A is 440 utils, and from B is 870 utile; the price of B is $11 and the price of A is $5.50. For a given total dollar amount spent on these two items, has total utility (combined) been maximized? Why or why not?
Calculate the constant debt-GDP ratio that the country can achieve if the country runs a primary budget deficit of 3%. Is this debt-GDP ratio stable.
What strategy does P&G appear to be moving toward? What are the benefits of this strategy? What are the potential risks associated with it?
Elucidate the production combinations society would like to choose. the boundary that divides all production combinations into attainable ones.
From 1983 to 1987, a period of rapid economic growth in the U.S., total savings by contributors to IRAs increased by approximately the amount of their IRA contributions. Does this show that virtually all of their IRA savings were new savings money th..
Elucidate how that influences the marginal benefits and marginal costs associated with the decision to purchase a house.
If the slope of the yield curve increases (steepens) after a decrease in the federal funds rate:
Gains from trade will result if a country specializes.
What are arguments for using real per capita G NI to compare living standards between countries. What weakness does this measure have.
A rather wealthy man decides to arrange for his descendants to be well educated. He wants each child to have $60,000 for his or her education. He plans to setup a perpetual trust fund so that six children will receive this assistance in each generati..
Are monopolies and oligopolies (firms demonstrating power) always bad for society?
Suppose the owner bears a monitoring cost of m, which is subtracted from income, so that the owners utility is U (x^beta, y^beta-m). mLet the monitoring cost person be a function m(n) of the number n of team members, with m increasing as n increase. ..
suppose you are the owner-operator of a gas station in a small town. over the past 20 years you and your rival have
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