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Asa buys a painting. There is a 20% probability that the artist will become famous and the painting will be worth $1,000. There is a 10% probability that the painting will be destroyed by fire or some other disaster. If the painting is not destroyed and the artist does not become famous, it will be worth $500. What is the expected value of the painting?
Suppose a cup of coffee at the campus coffee shop is $2.50 and a cup of hot tea is $1.25. Suppose a student's beverage budget is $20 per week. What is the algebraic expression of the budget?
investment projects in the economy that yield an expected rate of return of 25 percent or more. But suppose there are $10 billion of investment projects yielding expected returns of between 20 and 25 percent; another $10 billion yielding between 1..
1,000 of them have utility functions U(x, y) = x + y and 1,000 of them have utility functions U(x, y) = min{ 2x, y}. Everybody has an initial allocation of 1 unit of x and 1 unit of y. Find the competitive equilibrium prices and consumptions for e..
There is also a slim chance the legislature will provide the full funding and bonds don't need to be sold, a 5% chance. There is also a 1% chance that a donor will come forward and put their name on the building and pay 10% of the cost. What is th..
The firm currently uses 50,00 workers to produce 200,000 units of output per day. The daily wage per worker is $80.00, and the price of the firm's output is $25.00. The Cost of other varibles inputs is $400,000 per day.
Derive the formula for the rate of technical progress. What parameter restrictions would guarantee linear homogeneity of the cost function in input prices? Prove your answer in clear steps.
Would this prevent employees from being affected by the higher tax? Draw a diagram to illustrate your answer.
Then plot the graph of the function and determine if it displays increasing, constant or decreasing marginal utility.
What do the stories, "Young Goodman Brown," "Dead Man's Path," and "A Very Old Man with Enormous Wings" imply about people who claim to be religious? Is this a positive view of worship or a negative view?
Characterize the equilibrium number of varieties (at which all monopolistically competitive variety producers make zero profits) and compare this number with the answers to the previous two parts. Explain the sources of differences between the equ..
Suppose you own a restaurant that serves only dinners. You are trying to decide whether or not or rent out your dinning room and kitchen during mornings to another firm, the Breakfast Club Inc., that will serve only breakfast.
it would open new horizons for entrepreneurship; and, most important, it would help to clean up domestic politics." Separate and identify the arguments for free trade in this statement.
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