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1. Renee likes apples but doesn't care one way or the other about pears. If apples and pears are the only two goods available, draw her indifference curves.
2. Satch likes food but dislikes smoke. The more food he has, the more he would be willing to give up to achieve a given reduction in cigarette smoke. If food and cigarette smoke are the only commodities, draw Satch's indifference curves.
Now discuss the fact that deflation is the central bank's worst nightmare. Make sure you refer to a real interest rate of -2.68%. Why is this environment such a nightmare for the central bank and monetary policy?
As a means for less developed countries to attract the savings and investment necessary for economic growth and development, is short-term portfolio investment better than Foreign Direct Investment? Explain.
What was the result of the merger and merged firm on the petroleum industry? Did the price of gas go up or down? What role did the Federal Trade Commission (FTC) and Department of Justice (DoJ) play in this merger? What did the FTC and DoJ require to..
Analyze how the evolution of health care has affected the financial decision-making process in health care reform. Analyze how the evolution of health care has affected the financial decision-making process in general. Analyze how the financial decis..
what is Marginal Analysis and why Is Marginal Analysis Important in Economics? (c) What is the role of Marginal analysis?
Firms that can identify two types of consumers can price-discriminate perfectly. Firms can price-discriminate only if there is zero competition in the market. Firms that price-discriminate will not reach higher profits.
Calculate the value of the market basket for each year given the price in the table blow. also calculate the price index for 2014 and the inflation rate for 2014. assume that the market basket consists of 150 container of yogurt 300 cups of coffee an..
In a competitive market the current price is $5. The typical firm in the market has ATC = $5.50 and AVC = $4.50.
John operates a small business out of his home and has very little in terms of fixed costs. Answer the next questions (Parts A and B) on the basis of the following cost data for John’s firm operating in pure competition. If the product price is $45 a..
Over what range of wealth is this function potentially appropriate to analyze your financial choices under risk? Over this range of wealth, what is your attitude toward risk? What is your Arrow-Pratt measure of risk attitude?
suppose a firm has an annual budget of 100000 in wages and salaries 50000 in materials 20000 in new equipment 10000 in
In the short run, an increase in the money supply will
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