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Consider the following utility function: U(X,Y) = max(X, 3Y)
(a) draw the indifferent curve for this utility function.(b) find the Marshalian funtions for X and Y and the corresponding indirect utility function.
assume that joe derives utility based on the following utility function uxy x10.6 x20.610.6if joes income is 5040 a
Use real GDP, unemployment rate, customer price index, foreign exchange rate or auto sales, and oil or gas prices, make a 1,000 word paper in which you define each of indicators as related to the auto sales industry, and explain its current status.
there is persistent fear that there will be a high level of deflation. many economists warn that it may be worse for
Harvard, Yale and Princeton all charge relatively high tuition. Still each uses ACT and SAT score as admission criteria. Are charging a relatively high tuition and using standardized test scores inconsistent
What is the current unemployment rate? (hint: the update on the unemployment rate is usually released the first friday of each month) Do you think this unemployment rate is generally considered to be above, below or equal to NAIRU?
Explain how cross-price elasticity of demand is relevant to a firm being investigated for antitrust violation. If you were the chief economist for this firm, would you want to show a high cross-price elasticity or a low-low cross price elasticity ..
You are the adviser to a Benevolent Social Planner. GDP is falling also the economy is in a recession.
With the per-unit prices of broccoli (B) and pork rinds (R) equal to $2 and $1, a consumer, George, with an income of $1,000 purchases 300B and 400R. At that point, the consumer’s MRSBR = 3 R/1 B.
Assume the United States government is planning changes in economic and social policy to decrease wage inequality.
How do the following events affect an aggregate spending line?
Consists of performing application oriented exercises wherein specific economic principles learned in this course are put to practical use.
Describe what type of foreign investments would be best for the economy's PPF. What are the opportunity costs of these decisions.
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