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Brian and Julie are the only people in town that like apple pie. Brian's demand is given by the equation P = 10 - 2Q, and Julie's demand is P = 10 - Q.
a. What is the total town demand?
b. Suppose Eric moves to town. His demand is given by the equation P = 10 - 3Q. Now what is the total demand?
Explain the key features of each of the the three generations of currency crisis models. Which of the three models best describes each of the financial crises discussed in this chapter? (Book-international finance and open-economy Macro economics by ..
Suppose that capital per hour of work grows by 3 percent and technology grows by 1 percent over a one year interval. What is the growth rate of real GDP per hour of work? Show the formula and all work. To understand what causes productivity growth, w..
Which of the following factors turned the budget surplus into a deficit in 2002?
In a large city, a good, real-world example for perfect competition would be. A firm under monopolistic competition will earn
Even those who were not directly affected by the destruction were hurt because businesses failed or contracted and jobs dried up.
Bill gets utility from consuming food (F) and clothing (C) represented by the following utility function: U(F,C) = FC + F. The price of food is $1 per unit and the price of clothing is $2 per unit. Bill’s income is $22. Find the utility maximizing ch..
Is there a difference between the moral hazard and principal-agent problems? If yes, explain the dif- ferences and give an example of a situation where one of them exists without the other. If there is no difference, argue this is one and the same pr..
q.an investor puts 15000 into each of four stocks labeled a b c and d. the table shown below contains the means and
GDP is the major economic variable used to measure the health of the economy; indeed, as we learn, recessions are defined based on the direction of change in GDP. GDP is a difficult measure to construct, as certain transactions and expenditures are n..
bill operates a boat rental business in a competitive industry. he owns 10 boats and pays 1000 per month on the loan
The demand curve for haircuts at Terry Bernard's Hair Design is: 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 $15. Terry is unwilling to raise price if the p..
When the expected value of a course of action depends on several sequential events occurring, each of which is statistically independent, the resulting table for the overall value of each possible course of action is called a/an:
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