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A busy attorney regularly works out with the help of a trainer at the local gym. She pays $400 per month directly to the trainer for this service. Over time, the two fell in love and got married. They still work out together (just like before) and she still gives him $400 per month but they both consider the money to be "spending money". Assuming that this is the only thing that changed, what happens to the GDP? Explain and support your answer. (hint: this money is no longer in market activity)
a. the food and drug administration classifies tobacco an addictive substance.b. the congress votes to raise the excise
According to the Solow growth theory that we have studied, how would each of the following events affect per capita consumption in the long-run. Illustrate graphically and explain.
The amount of market power a firm has depends on
What is the future value, ten years from now, of ten $1,000 cash flows using a periodic interest rate of 8 percent compounded annually? The cash flows are made at the end of each year.
Suppose a monopolist can purchase Labor at a price w = 36 and can purchase Capital at a price r = 25. The monopolist's production function is given by Q = L1/2K1/2. The demand facing the monopolist is given by P = 180 - 3Q. a) What is the Monopol..
suppose that in the year 2000 a typical social security recipient consumed only food and housing. the price of housing
Beachfront resorts have an inelastic supply, and automobiles have an elastic supply. Suppose that a rise in population doubles the demand for both products (that is, the quantity demanded at each price is twice what it was).
the typical industrial bakery can produce cookies at a daily long run cost of tclrq 0.01q2900where q is the number of
From California to New York, legislative bodies across the United States are considering eliminating or reducing the surcharges that banks impose on noncustomers, who make $12 million in withdrawals from other banks’ ATM machines. On average, noncust..
Is this social preference profile single-peaked?
1. what types of things do you need to consider if you want to change your default electives? what resources will you
How many units of good y will she consume
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