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Question: Total factor productivity and investment: Suppose the TFP parameter, A, increases permanently.
(a) What happens to the desired capital stock?
(b) What happens to investment?
(c) Hard: What happens to the investment rate in the long run? Why?
Include how the necessity of a good and the availability of substitutes affect the price elasticity of demand in case of gasoline as a commodity.
dimex fabrications co. a small manufacturer of sheet-metal body parts for a major u.s. automaker estimates its
What is the current minimum wage in the U.S and what is the minimum wage for workers who receive tips
Choose any firm and think about its buying and selling activities -everyone buys and sells, or at least "procures" and "supplies", or otherwise participates in exchange transactions.
Consider Bob, he washes his car by hand rather than taking it to the local car wash. When asked why he washes it by hand, Bob explains "you should never pay for something you can do yourself." Evaluate the validity of Bob's statement.
(Wall Street Journal) The ability to measure the true (op- portunity) cost of a choice is a skill that will pay you great dividends. Use any issue of the Wall Street Journal, and find an article that discusses a decision some firm has made. (Try t..
What average annual inflation rate would a monetarist expect if the Fed maintained a growth rate of M2 = 10% per year for a three year period? (Assume that the monetarist felt that the long run average growth rate of RGDP was 3%)
When the iPad was introduced, Apple’s, Apples constant marginal cost of producing this iPad was about $220. We estimate that Apple’s inverse demand function for the iPad was P= 770 – 11Q, where Q is millions of iPad purchased. What were its profit ma..
analyze grossmans model and how effective this model is at predicting the life expectancy of the elderly. apply this
1. assume that the market for computers begins in equilibrium. then there is a decrease in a price of pentium
Capital accumulation and technological change bring economic growth: Production that was unattainable yesterday becomes attainable today.
Suppose the adult population over the age of 16 is 237.8 million and the labor force is 153.9 million (of whom 139.1 million are employed). How many people are "not in the labor force?" What are the proportions of employed, unemployed and not in t..
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