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Census data indicate that, as of 2008, the top fifth of all households receive about ________ times as much income as the bottom fifth
A. fifteen
B. twelve
C. eight
D. three
You buy a bond for $1118 that pays $20 interest ever 6 months. It will reach maturity in 9 years at which time it will return its face value of 1000 plus the final $20 interest payment. What is the pre-tax annual rate of return on this bond? Estimate..
Suppose that Shelly's preferences for consumption and leisure can be expressed as u(c ,l)=(c-200)×(l-80). Calculate her utility, u0 , if she consumes c = $360 and enjoys l = 110 hours of leisure per week. Evaluate her marginal utilities of consumptio..
The Consumer Product Safety Commission is reconsidering a rule it first proposed in 1997 that would require child-restraint caps on household products, including cosmetics. When the rule was first proposed, it was resisted by the cosmetic industry an..
How is power distributed in the U.S. political system? How does the U.S. political system reflect the distribution of power? List and discuss six ways in which urban planning can be political in nature. With references.
The follow-ing ( multiplicative exponential) demand function is being used: QD = 6,280P. - 2.15A1.05N3.70 where QD = quantity demanded, in 10 oz: boxes P = price per box, in dollars A = advertising expenditures on daytime television, in dollars N = p..
If the price that a firm charges is higher than its ________________ cost of production for that quantity produced, then the firm will earn profits.
Using the results from previous question (the equilibrium price and quantity), which of the following is true or false? Explain (10 pts., 2.5 pts. each). Equilibrium quantity decreased by 4 units.(explain)
There are 10 households in Lake Wobegon, Minnesota, each with a demand for electricity of Q = 60 – P. Lake Wobegon Electric’s (LWE) cost of producing electricity is. If the regulators of LWE want to make sure that there is no deadweight loss in this ..
Delta Dawn’s Bakery is considering purchasing a new van to deliver bread. The van will cost $21,500. Two-thirds ($14,333) of this cost will be borrowed. The loan is to be repaid with four equal annual payments (first payment at t = 1) based on an int..
A Monetary History of the United States, 1867-1960 uncovered the empirical reality that money is pro-cyclical and leading, the classical economists went to the drawing board.
Suppose that Erin spend her incomes on two goods, food (X) and clothing (Y), and that her utility function is given by U(X,Y)=.20X2Y2 (The marginal utility for X is .40XY2 and that for Y is .40X2Y ). The prices of food and clothing are $10 and $20 fo..
While grading a final exam, an economics professor discovers that two students have virtually identical answers. Illustrate which outcome do you expect.
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