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Imagine that you are an economic advisor for a member of the US Senate. You are charged will creating a five-page memo justifying the support or opposition to the American Rescue Plan Act of 2021
The memo must include:
1. The name of the Senator who will receive your memo.
2. A concise and specific summary of the policy issue at stake.
3. A review of the general economic impact of the Act and its effect on key constituencies.
4. A Concluding summary of the action the Senator should take supported by theory and specific examples.
Suppose the corporate tax rate on accounting profits is 40%. The firm can include depreciation at the rate d per year in its accounting costs
A banana gives you 10 utility. Each subsequent banana gives you 1 less utility. An apple gives you 10 utility. Each subsequent apple gives you 2 less utility. A banana costs $4, and apple cost $2, your income is $16. What is your utility maximizing c..
A firm is producing optimally (maximizing profits) when the price level = $1. It pays a wage rate of $10 per hour to labor and rents capital for $8 per hour. It sells its product for $20 per unit. At its current production point we can assume that it..
A 473-foot, 7000-ton World War II troop carrier (once commissioned as the USS Excambion) was sunk in the Gulf of Mexico to serve as an underwater habitat and diving destination. The project took 10 years of planning and cost $4 million. Assume the $4..
Suppose that Kristen and Anna can sell all their wristbands for $1 each and all their pot holders for $5.50 each. If each of them worked 20 hours per week, how should they split their time between wristbands and pot holders? What is their maximum joi..
A firm’s long-run average cost curve is estimated by the equation: LAC = 1,000 – 2.5Q + 0.005Q2. What is the minimum efficient scale of production?
The owner/manager of an athletic shoe store has revenue of $260,000 per year and labor, interest, inventory, and miscellaneous expenses of $200,000. The owner also owns the building the store is located in. What and how much are the store owner’s imp..
a. What is the yield to maturity on this? bond? b. Should you purchase the bond if the yield to maturity on a? comparable-risk bond is 6 percent?
?How has the value of the Euro changed, compared to other countries, over the past 10 years (since the Great Recession began)?
Both Thorstein Veblen on the one hand and Daniel Kahneman and Amos Tversky on the other challenged standard neoclassical notions of rationality. Explain the similarities and differences between institutional economics(Veblen) and Behavioral Economics..
What is the main purpose of a book keeper? Is it to keep track of all the files and manage the money?
Show that consumer surplus when the monopolist innovates is lower than the consumer surplus that obtains when the entrant innovates.
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