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Suppose that when he took office in January 2009, President Obama wanted to reduce the level of spending by the Drug Enforcement Administration during fiscal 2009. What budget procedure would allow him to do that?
What are some of the benefits of greater National Government authority as opposed to allowing states more sovereignty with an increase in state responsibility? Think about issues like federal health care mandates for states' citizens or immigration l..
Suppose the own price elasticity of demand for good X is -3, its income elasticity is 1, its advertising elasticity is 2, and the cross-price elasticity of demand between it and good Y is -4. Determine how much the consumption of this good will chang..
Why might demand for nurse labor by hospitals or other organized health providers be monopsonistic? Use economic models to explain your answer.
In March 2011 Chu, at age 50, decides to retire. As part of his employment contract with Computers Pty Ltd, Chu had agreed that he will not compete against the company in New South Wales for two years.
In the language of economics, we describe an industry that requires very high capital costs for overhead to have a high "barrier to entry" and it is considered a competitive advantage. Can you describe what that is the case?
How much profit will the airline earn if it sets the price of each ticket at $600? Why?
Fairfield Homes is developing two parcels near Pigeon Fork, Tennessee. In order to test different advertising approaches, it uses different media to reach potential buyers. The mean annual family income for 15 people making inquiries at the first dev..
What if any difficulties do you think may be encountered in implementing the current policy being pursued by Fed Chairman Ben Bernanke to cope with one of the worst financial crises in the US since the Great depression?
The Circular Flow Model with Government is another important model for students to understand.
Illustrate what is Ricardian equivalence. Mention and explain three reasons why Ricardian equivalence might not correctly describe an economy.
A used car dealer advertises financing at 4% interest over 3 years with monthly payments. You must pay a processing fee of $250 at signing.
A bond that matures in 19 years has a ?$1,000 par value. The annual coupon interest rate is 12 percent and the? market's required yield to maturity on a? comparable-risk bond is 14 percent. What would be the value of this bond if it paid interest? an..
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