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Explain the concepts of impatience and internal discount rate (of an individual). (Hint: the example of a depletable resource may be useful for handling this task.) To determine the intertemporal consumption decision of an individual the concept of declining marginal utility of money (income) is needed as well. Explain the interplay of these concepts. (Plain words are fine, no algebra or geometry is needed, but you may use either if you want).
Budget Constraint- Provide an interpretation for the budget constraint. Explain what the slope of the budget constraint is. What is a point of tangency?
You have been asked to estimate the cost today of a 2,500 ft2 parking lot. You research and find that parking lots have a power-sizing exponent of 0.55 and that your company built a similar 1,000 ft2 lot 5 yrs ago that cost $50,000. You also find tha..
There are three ice cream vendors who are deciding where to locate on a beach. The only decision that they have to make is where to locate the store that they have to run. There are 10 positions available on the beach and costumers are uniformly dist..
Illustrate what is happening to the U.S. exchange rate when the U.S. nominal exchange rate is unchanged, but prices rise faster abroad in the United States than abroad.
Schaefer Organic Farms purchased a new tractor at a cost of $80,000. Annual operating cash inflows are expected to be $30,000 each year for four years. At the end of the tractor's useful life, the salvage value of the tractor is expected to be $5,000..
Where aH and bH are her consumption of ale and bread. George and Harriet are each endowed with 4 units of ale and 4 uits of bread. Find the market-clearing price (which is a messy fraction).
Tom owns a winery which produces red wines. He is a profit maximizing, pricetaker. The market price for a bottle of red wine is $40. His costs are given by C = 0.1Q^2 + 20Q + 100 where Q represents the number of bottles. How many bottles will he prod..
Which of the theories of comparative advantage could explain why the United States exports computers to Japan at the same time that in imports computer from Japan? Explain?
Was there a UFW-Almaden contract in effect when the Paicenes vineyard was leased by Heublein to Glen Ellen
q.as an analyst at the treasury department you have been asked to predict the behavior of key macroeconomic variables
Should antitrust laws (or other regulatory policies) attempt to eliminate all forms of imperfect competition? Why or why not?
The opportunity cost of money is
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