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Its importance in economics. What market structure does it best fit? As a manager, how might you use it to improve the bottom line? Why is it an important application for business?
explain why do companies grant discounts to senior citizens and students
The company has 50,000 shares of stock outstanding.The current selling price is $15.Based on historical returns, you believe the Beta for this stock should be about 1.5.The current risk free rate is 6% and the expected return on the market is 12%.
What dangers are being shown by the rise in food and commodity prices? Explain. Why is it dangerous that the government is ignoring it?
You are debating whether to reduce the risk by applying for the import license now and wait until it has been approved before committing yourself to purchasing the crude oil. The dilemma is that another petrochemical company may secure the deal be..
Explain how changing interest rates will affect investment spending, equilibrium output, and prices. Also, could do a brief discussion of the money multiplier and how it relates to the Fed's activities.
Suppose that the Fisher hypothesis holds for an economy that an expected real interest rate of 2 percent. For each of the expected inflation rates of 0, 2, 4, 6, and 8 percent, calculate the nominal interest rate and after tax expected real interest ..
Assume that you're a member of the Board of Governors of Federal Reserve System. The economy is experiencing a sharp decline into a recessionary phase of the business cycle.
Suppose a monopolist can purchase Labor at a price w = 27 and can purchase Capital at a price r = 3. The monopolist’s production function is given by Q = L1/2K1/2. The demand facing the monopolist is given by P = 402 – 6Q.
If there is a recessionary gap in the short run, then in the long run a new equilibrium arises when input prices and expectations adjust downward,
If the price of a good decreases, the substitution effect shows the increase in the quantity of the good demanded, holding income constant.
Explain how does the Leontief paradox challenge the overall applicability of the factor-endowment model.
These costs are depends on a budgeted volume of 80000 units developed and sold every year. Lafluer uses cost-plus pricing methods to set its target selling price.
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