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Imagine that you are a politician in a town where a multinational retailer is planning to build a new superstore. A local campaign is protesting that it will drive small independent retailers out of business, and thereby reduce consumer choice and change the character of the area. Supporters of the plan argue in turn that this will only happen if consumers prefer the supermarket. Which side are you on?
Suppose that the Fed purchases from bank A some bonds in the open market and that, before the sale of bonds, bank A had no excess reserves. Describe what initially happens to the reserves of bank A. If bank A does not want to hold excess reserves, wh..
Suppose that the government collects $3 million in taxes, pays $2 million in Social Security benefits, pays $0.5 million in interest on the national debt, and pays workers $1 million to sit at their desks and work as little as possible. What is the g..
Suppose you bought a house and took out a mortgage for $50,000. The interest rate is 8%, and you must amortize the loan over 10 years with equal end-of-year payments. Create a graph that shows how the payments are divided between interest and princip..
Assume the student chooses so as to maximize his expected utility, where will he apply?
which of following is a characteristic of a binomial experiment. A. at least 2 outcomes are possible b. probability changes from trial to trial c. trials are independent d. None of these alternatives is correct.
In order to achieve money market equilibrium, ________ are constantly adjusted to make quantities of money demand and money supply equal.
1.) Examine in the restaurant industry. What conditions exist for price discrimination?
A rail operating company incurs extra costs if its long-distance trains are late.
n the short run, a firm's total costs of producing the hundredth unit of output equal $10,000. If it produces one more unit, its total costs will increase to $10,150. What is marginal cost of the 101st unit of output.
A good without any close substitutes is likely to have relatively _______? demand, because consumers cannot easily switch to a substitute good if the price of the good rises. Price elasticity for a good depends on the share of a consumer's budget sp..
What is the difference between a horizontal analysis and a vertical analysis of balance sheets and income statements?
Average tax rate is a. total taxes paid divided by total income b. measures the sacrifice a taxpayer makes c. measures the incentive effects of taxes on work effort, saving, etc. d. Both a and b. e. All of the above.
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