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What is the role of models in economic analysis? How can it be determined if the assumptions underlying the design of an economic model are overly simplified or overly limiting? At what point do the assumptions invalidate the model? Why?
What would happen to the value of gold if people discovered that it could easily be made at home from inexpensive materials
What warnings with you give forecasters in using statistical demand equations for estimating consumer demand? How can the problems associated with using static equations in a dynamic world best be dealt with? Elaborate
Select a model that you have some experience with and determine what types of specification errors you might encounter. Provide examples to support your response. Develop two or three best practices to help mitigate the error(s) you identified above...
The current account balance may fall after a real depreciation because
If Amy spent her entire allowance, she could just afford 8 candy bars and 8 comic books a week. She could also just afford 10 candy bars and 4 comic books. The price of a candy bar is 50 cents. Illustrate her budget line with a diagram (be sure to la..
Using the supply-and-demand model, explain what would happen to the supply curve during a drought. Also explain the effect on the price of water as illustrated by the graph.
Where Q is the total quantity of all firms in the market and q is the quantity of a single firm. Suppose there are n firms in the economy. Solve for the total quantity of all the firms and the price in equilibrium as a function of n under Cournot.
Describe the budget constraint which she faces when deciding how many drinks to buy.
Develop a paper detailing an analysis of market structures and relating pricing strategies that are suitable for each of these structures. Furthermore, include a real world example of pricing strategy for a specific company by identifying its market..
Explain the so-called "Ricardian" model of international trade, including its assumptions, and use this model to explain why and how both of the two countries considered countries gain from free trade between them. What determines the relative extent..
q1. throughout 2nd world war u.s. prisoners of war utilized cigarettes as a form of money. cigarettes were used to
She can earn an annual interest rate of 4% or a nominal interest rate of 3.95% compounded continuously. Which is the best option and at the best interest rate, what will the account balance be after 25 years?
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