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When entrepreneurs are investing their own money, how do they decide which projects they should undertake? When political decision-makers allocate the funds of others (taxpayers), how do they decide which projects to support? Explain.
Find out the equation for the linear supply curve which fits this information. What would the new equilibrium price and quantity be if supply were to increase by 20%.
Graph represents a natural monopoly.
A newspaper recently reported that the Chinese central bank has decided to reduce its reserve holdings of U.S. government bonds. What effect might these purchases have on the U.S. bond markets, the Chinese Balance of Payments, and currency valuations..
There is one scenario where the unemployment rate would probably be underestimated due to the discouraged worker effect. One where the rate would probably be underestimated due to underemployment.
The opportunity cost of Juan's time is $8 per hour. If Juan receives $2 per pound for his fish, what is the optimal number of hours he should spend fishing.
Please plot the following aggregate demand curves from the following equations: Please plot both curves to scale.
In 1997 the Government of Ontario reformed that province’s welfare system. The reform reduced the amount of welfare payments to a person with no income, but also allowed welfare recipients to keep a larger part of their welfare payments if they did e..
A new machine will cost $100,000. Net cash flow before depreciation and taxes are $250,000 per year for 5 years. The machine would be depreciated (straight-line) over 5 years with no salvage value. What is annual net cash flow after depreciation and ..
An individual has an income of $1000 per month with which they buy the composite good with a price of $1 and food with a price of $2/unit of food. Assume instead that the government had given the individual $100 in cash. Draw the new budget constrain..
Software developers at Acme systems, Inc., have developed an iPhone App that analyzes an individual’s golf swing. Should the developers attempt to de-bug the program completely or not? Use the basic principles of economics and a simple graph to suppo..
Explain why net exports and net capital outflow are always equal. Explain why higher real interest rates lead to lower net capital outflow.
Elucidate what is the new market price. How many Frisbees are sold angry students marched to Washington, asked Frisbee price.
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