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Zaneb is a high-school teacher and is well known in her community for her honesty, integrity, and sense of social responsibility. She is shopping for a used car. She plans to borrow the money to pay for it from her local bank and she plans to buy auto insurance from her local insurance company. What asymmetric information problems is Zaneb likley to enounter and what arrangements are likely to help cope with those problems? Explain your answers.
Write a 200-word summary discussing the challenges, milestones and discoveries of your teams efforts this week. Feel free to discuss task assignment however your summary should be based on reflection of collaboration and not exclusively on projec..
Suppose that the price elasticity for hip replacement surgeries is 0.2. Further suppose that hip replacement surgeries are originally not covered by health insurance and that at a price of $50,000 each, 10,000 such surgeries are demanded each year..
Clearly explain the difference between one-step ahead, filtered, and smoothed regime probabilities. Is it correct to state that we should always use smoothed instead of filtered probabilities to identify phrases of business cycle? Why or Why not?
Describe key elements of the role that Congress plays within the U.S. federal system, with particular focus on Congress' ability to reflect the will of the people. Support your argument with at least two concrete examples.
Do you think your conclusions would be any different if you used a shadow demand curve instead of a shadow supply curve? Why or why not?
Suppose the consumption function is C = $400 billion + 0.8Y and the government wants to stimulate the economy. By how much will aggregate demand at current prices shift initially (before multiplier effects) with ( a ) A $50 billion increase in gov..
A successful engineer wants to fund an endowment for a university which will pay $10,000, $15,000, $20,000, and $25,000 for the 1st, 2nd, 3rd, and 4th quarters respectively, each year, forever. For an interest rate of 8% compounded quarterly,
Identify relevant criteria and discuss your reasons for including them. Describe why they are relevant across industries, cultures, and geographic locations.
Suppose xt = (1:05)t and yt = (1:02)t. Calculate the growth rate of zt in each of the following cases: a) z = xy b) z = x=y c) z = y=x d) z = x^1/2 y^1/2
Solve for the unemployment rate if Pe = P but Ae does not necessarily equal A. Explain the effects of (Ae /A) on the unemployment rate. Now suppose that expectations of both prices and productivity are accurate.
Suppose the income of buyers (Y) increases by 10 percent (calculated as change in Y/average Y) and, as a result, the quantity demanded of the good increases by 2 percent (calculated as change in Qd/average Qd). Check the correct statement(s): A. T..
What is the likely post-merger bargaining outcome?
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