Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
In the U.S, the capital share of GDP is about 50 percent, the average growth in output is about 3 percent per year, the depreciation rate is about 4 percent per year, and the capital-output ratio is about 2.5. Suppose that the production function is Cobb-Douglas and that the U.S has been in a steady state.
a. What must the saving rate be in the initial steady state?
b. What is the marginal product of capital in the initial steady state?
c. Suppose that public policy alters the saving rate so that the economy reaches the Golden Rule level of capital. What will the marginal product of capital be at the Golden Rule steady state? Compare the marginal product at the Golden Rule steady state to the marginal product in the initial steady state. Explain.
d. What will the capital-output ratio be at the Golden Rule steady state?
A firm that produces and distributes electricity has mostly fixed costs. It also tends to be the only provider of electricity in its market. This is an example of pure monopoly resulting from the firm:
Why are coal miners in China paid higher than factory workers even though they have received more or less the same level of education and training? Why are workers with good looks paid higher in some jobs, but not in others?
Use an 8-year analysis period and a 10% interest rate to determine which alternative should be selected:
Suppose that the government imposed a $1 tax each time someone used an ATM.
Under the cost minimization rule, when will a firm employ only human labor? Why does the cost minimization rule suggest that it is unlikely a firm actually would replace human labor entirely with robotic inputs?
When on leave, workers receive 55% of their normal paya. Illustrate what are the likely responses on the demand (employer) side of the market.
increases the amount of a product that consumers buy because it keeps the price below the competitive market equilibrium. Elucidate do you agree with the student's reasoning.
KMC Incorporated uses 150,000 shafts per month in the production of sets of golf clubs. The cost of carrying in inventory is $0.50 per shaft per year, and the cost of ordering the shafts is $150 per order. The firm uses. Constant rate throughout the ..
Assume that a 1- year discount bond (bond A) with a face value of $1,000 is currently trading at PV = $943.40 offers YTM = 6%, and another 2-year discount bond (bond B) with identical risk features and face value is currently trading at $873.44 and o..
For both options, your interest rate is 6% compunded monthly. If the car has a value of S after the 36 months period, what is the value of S that would make both options A and B economically equivalent?
Derive and graph the IS curve and the LM curve. Calculate the equilibrium interest rate and level of income. Label that point A on your graph. Suppose that a newly elected president cuts taxes by 20%. Assuming the money supply is held constant. what ..
Consider Cournot’s game in the case of an arbitrary number n of firms; retain the assumptions that the inverse demand function takes the form (56.2) and the cost function of each firm i is c(q) = (c/2) *q^2, with c
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd