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Product A is an end item and is made from two units of B and four of C. B is made of three units of D and two of E. C is made of two units of F and two of E.
A has a lead time of one week. B,C, and E have lead times of two weeks, and D and F have lead times of three weeks.
Q. Explain the problem with IS-LM model? The starting point of AS-AD model is an assumption in IS-LM model (and in the cross model) that limits its usefulness. This is an assum
Critically explain why interest rates are pro-cyclical, using the supply and demand for bonds framework.
How much will your firm's total revenues (revenues from both products) change if you increase the price of good X by 2 percent?
The Budget Line: The Consumer Constraints The consumer would like to maximize his satisfaction by reaching the highest possible indifference curve. But in the process, he faces
Explain the multiplier effect with example Deposits and loans in banks give rise to an important multiplier effect. We use a simple example to illustrate this effect. Consider
Explain the notion of the hidden momentum of population growth. Why is this an important concept for projecting future population trends in different developing nations?
A company is assessing a proposed 4-year project. The depreciable cost will involve the following: $300,000 for the equipment, $20,000 for shipping, and $30,000 for installation.
For a single nonprofit provider, describe an output-maximizing model to predict supplier behavior.
Individual A has UA(XA,YA)=lnXA+2YA and has $500. PX=5 and PY =10. (a) Find the optimum. Show that it is indeed the maximum. (b) PX=10. Find the new optimum. (c) Calculate
explanations to the short-run fluctuation and pilicy prescriptions of the schools macroeconomics thought
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