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What is a wage-price spiral, and how can a devaluation start one? Is it something undesirable? Explain. How can a wage-price spiral be avoided?
Consider the economy of Hicksonia. A. The consumption function is given by C = 200 + 0.75(Y-T) Investment function is I = 200 - 25r Government purchases and taxes are both 100.
Allow an inverse demand curve in a monopoly to have the following form: P[Q]=50-3*Q, allow the MR curve to be: MR[Q]=50-6*Q and say the firm has TC[Q]=10*Q2, and MC[Q]=20*Q. Derive the price the monopolist will charge.
Picabo borrows $1000. To repay the amount, she makes 12 equal monthly payments of $90.30. Determine the effective monthly interest rate, the nominal annual interest rate, and the effective annual interest rate
The demand curve for haircuts at Terry Bernard's Hair Design is, P = 22 - 0.22Q, where Q is the number of cuts per week and P is the price of a haircut. Terry is considering raising her price above the current price of $9
Econometrics. define the word and state in your own words what it entails
How well does the estimated line visually appear to fit the data and on the basis of the appropriate goodness of fit measures, how well does the model fit?
A cash manager purchases $1 million in commercial paper with one month remaining until maturity. At maturity, the cash manager will receive the face value of the security. What will he pay for this security
skilled technicians using equipment produced by two leading competitors in the medical equipment industry. Records for the current year show an average of 24 tests per hour performed on the A-1, and 51 tests per hour on a new machine, the Caltec.
over the last 10 years, the hurdle or discount rate for projects from the firms research and development division has been 10% twice, 15% three times, and 20% the rest of the time. There is no recognizable pattern.
Discuss both the economics and the political economy of this viewpoint.
The demand function for orange juice is q=247-8p and the supply function is q=19+4p, where q is the number of units sold per year and p is the price per unit expressed in dollars. The government decides to support the price of orange juice at a price..
The demand for good X is given by: Qdx= 1,200-1/2Px+1/4Py-8Pz+1/10M Research shows that the prices of related goods are give by Py=$5,900 and Pz=$90, while the average income of individuals consuming this product is M=$55,000.
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