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According to the production possibilities model, does a reduction in the unemployment rate cause the economy to grow (yes or no)? Explain why or why not. What about Improvement in technology.
This project will replace some existing equipment which currently has a book value (BV) of $200k and an estimated market salvage value of $375k. The new project will require new equipment costing $2.0 M, which will be depreciated straight-line to ..
An amount, P, must be invested now to allow withdrawals of $900 per year for the next 13 years and to permit $320 to be withdrawn starting at the end of year 6 and continuing over the remainder of the 13-year period as the $320 increases by 6% per ye..
When I look at a cost function such as TC=9000 + 9Q, Am I correct that the 9000 in this figure is overhead and the 9 would be the marginal cost, Q would be the qty produced?
Critically evaluate and explain: in monopolistically competitive industries, economic profits are competed away in the long run; hence, there is no valid reason to criticize the performance and efficiency of such industries.
Suppose the distribution of innate ability is distributed symmetrically throughout a population but which the wage distribution is positively skewed.
Suppose the European Union (EU) is investigating a proposed merger between two of the largest distillers of premium Scotch liquor. Based on some economists’ definition of the relevant market, the two firms proposing to merge enjoyed a combined market..
Suppose SRAS is horizontal as believed by Keynesian economists and is given by P = 110 and that the aggregate demand curve is P =200-2Q. Now suppose that the SRAS shifts upward from P=110 to P = 115. What will happen to the inflation rate? What will ..
Suppose that there are two products: soda along with clothing. Both Brazil and the United States produce each product.
Since the uninsured and lower income population generally tend to be less healthy than those who are better off financially, an insurance plan for the less-healthy would not be a good business venture. What is the best way to provide health insurance..
Compare and contrast the following risk assessment methodologies: (a) the Delphi technique, (b) sensitivity analysis, and (c) Monte Carlo simulation. Provide a rationale for your response.
What are the economic justifications of the size premium? In factor pricing models like the intertemportal capital asset pricing model (I-CAPM) or arbitrage pricing theory (APT), it is assumed that exposure to one of these factors represent exposure ..
Suppose the level of technology is constant. Then it jumps to a new, higher constant level. How does this technological jump affect output per capita/person, holding the capital-labor ratio constant?
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