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Your bank has total assets of $220 million and a capital-to-total assets ratio of 7 percent. You learn that your bank’s entire $20 million loan package to Central American nations will be written off as bad loans. Will your bank survive this crisis? Explain.
Find the cost functions for the following firms: A firm with production function f(x1,x2) = min{ 2xl,3x2} A firm with production function f(xl,x2) = 2x1 +3x2 A firm with production function f(x1,x2) = In
Assume the manager asks for volunteers to postpone their tour by offering increasing amounts of cash compensation until only four people want to see the caves that day.
Illustrate what is the equilibrium price of tickets to the event. Calculate the price elasticity of demand at the equilibrium price.
Elucidate why an upward sloping aggregate supply curve is thought to weaken the impact of a rightward shift of the aggregate demand curve generated by an increase in government spending in the short run.
Attending to local culture and customs is critical for this type of FDI. Why then has management frequently errored and offended local people? What take-aways fromthis case can be applied to the new park in Shanghai. Critically evaluate remedial a..
What strategy does P&G appear to be moving toward? What are the benefits of this strategy? What are the potential risks associated with it?
Two firms compete in an undifferentiated Bertrand market. Suppose that the firms face a demand curve given by P = 60 – Q and both firms have constant marginal cost of 40. What is the market clearing Bertrand price and quantity?
What are the major economic justifications for state intervention used by mercantilists? What are the major types of problems with state intervention as they pertain to international political economy?
If a political candidate said that if she were elected to Congress, she would work toward cutting federal government spending by one-third over the next four years, would she stand much chance of fulfilling her promise? Why or why not? Discuss the pr..
The Green Company produces chemicals in a perfectly competitive market. The current market price is $24; the firm’s total cost is given by the equation C=100+4Q+Q2. Determine the firm’s profit-maximizing output. Determine its level of profits. Does t..
Should the seniority rule be eliminated, what is MOST likely to gain greater influence over the process of selecting committee chairs.
Illustrate what is the economy's MPC? It's MPS. Illustrate what was the APC before the increase in disposable income.
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