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Suppose a country's CPI increased from 2.1 to 2.3 in the course of 1 year. Use this fact to compute the rate of inflation for that year. Why might the CPI overstate the rate of inflation?
Assume the price of coffee is $2 and the price of a bagel is one dollar. bruce has 8 dollars to spend on bagels and coffe. Bruce decides to consume 2 bagels and 3 cups of coffee. Show that the last dollar spent on bagels each week gives bruce the ..
Determine the optimal number of employees
the production function: Q=5KL the assembly machines, K, costs $10,000 a week, while labor teams, L, cost $5000 per week. your plant has 4 assembly machines In the short run, ____ labor teams are required to produce 360 widgets.
the number of unemployed workers declined by only 1.1 million. How are these numbers consistent with each other Why might one expect a reduction in the number of people counted as unemployed to be smaller than the increase in the number of people ..
a machine at a cost of $5000 was purchased 3 years ago. It can be sold now for $3000. If the machine is kept, the annual operating and maintenance costs will be $1500. If it is kept and operated for the next five years,
Inflation affects creditors and debtors. Suppose the Canadian debtors borrowed $100 from the Canadian creditors on December 31, 1992 and promised to pay back $105 on December 31, 1993.
A country has a growth rate of 5%, a labor growth rate of 7%, and a net investment growing at 5%. The production function is Cobb-Douglas with CRS and a capital share of 1/3. Determine the growth rate of technology.
You are the sales manager for a software company and have been informed that the price elasticity of demand for your most popular software is less than one. To increase total revenues, you should:
The cost of pollution (in billions of dollars) originating in the paper industry is Cp = 2P + P2. Where P is the quantity of pollutants emitted (in thousands of tons). The cost of pollution control (in billions of dollars) for this industry is Cc ..
What sum should you deposit into an account to yield 20 year end payments, starting with $10,000 at the end of the first year and increasing by 4% each year at an interest rate of 8% compounded quarterly.
If the average U.S. worker produces $100,000 of output per year, what is the annual opportunity cost of the federal regulatory workforce (Table 13.1)?
Consider the situation involving the creation of a routing loop in the network of Figure 4.15 when the A-E link goes down. List all sequences of table updates among A, B, and C, pertaining to destination E
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