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When households own capital directly, capital income is in the form of rental payments to households. In what form is capital income paid when businesses own capital?
Assume there is one good in the economy X, and utility is given by: Ua=Xa Ub=Xb The objective is to maximize the welfare of the social given that only 10 units of X exist in the economy. (i.e Xa+Xb=10) Suppose the utilitarian social welfare functi..
If the industry is regulated in a way that requires it to set P = AC, how much will be sold and what will the price be c) If the industry is regulated in a way that requires it to set P = MC, how much will be sold and what will the price be
Generate new variables for the growth of the real GDP (at constant prices), the growth of labor force and the ratio between external debt and real GDP.
suppose the marginal benefit of writing a contract is 100 independent of its length. find the optimal contract length
Assume oil is an exhaustible resource supplied competitively by many small suppliers. The interest rate is 5% per year. Assume the price in the year 2011 is $40 per barrel, extraction costs are $10 per barrel, constant over time in nominal terms.
Suppose that the country of Bigu has a population of 127 million, of which 83 million are in the working-age population. Of those , 25 million are not in the labor force and 52 million are employed. A) Calculate the working age population as a per..
a motorcycle is for sale for $2600. the dealer is willing to sell it on the folowing terms: No downpayment; pay $44 at the end of each of the first 4 months; pay$84 at the end of each mont after that until the loan has been paid in full.
Was Steve Jobs an awful person? Give direct examples of why or why not.
Revenue at a major cellular telephone manufacturer was $1.4 billion for the nine months ending March 2, up 97 percent over revenues for the same period last year. Management attributes the increase in revenue to a 137 oercent increase.
How much must you deposit in your retirement account each year for 10 years starting now (i.e., years 0 through 9) if you want to be able to withdraw $50,000 per year forever beginning 30 years from now Assume the account earns interest at 10% per..
But a century ago,skim milk accounted for only about 1% of total production, and much of it was fed to hogs. Today, skim and other reduced-fat milks make up the bulk of milk sales. What curve shifted, and what factor shifted it?and paste your ques..
Suppose that due to a political conflict inside the country, there is a risk the government will default in its debt in t = 2. The investors perceive the probability of that default to be = 0:10. What interest will they demand (HINT: because inves..
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