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a. Determine the regression equation.
b. Estimate the selling price of a 10-year-old car.
c. Interpret the regression equation.
Explain how would we measure the cost of the project to determine whether it is worth undertaking.
Does federal revenue as a percent of GDP change with changes in tax rates? Explain with reference to the Laffer Curve concept.
Monetary expansion causes the current account balance to increase in the short run. Discuss this statement. Is the same true for fiscal expansion?
If the central bank (the Federal Reserve) keeps printing money and lowering the interest rates to get consumers buy and businesses to borrow money, then the economy will improve. Do you agree with the statement?
Find the effective annual interest rate (b) Use your result in (a) to find the value of the investment immediately after the 10th investment (use the algebraic form of any interest factors used).
Should the Fed be more concerned about keeping inflation low or unemployment low? Please justify your answer. Please explain what the Fed's open-market operations are. Has the Fed changed the discount rate lately? If so, has it had an impact on the e..
The manager of a local monopoly estimates that the elasticity of demand for its product is constant and equal to -3. The firm’s marginal cost is constant at $25 per unit. a. Express the firm’s marginal revenue as a function of its price. b. Determine..
Which of the following is not a necessary precondition for economic growth?
Explain how do I draw a production possibilities curve for 2 products in an economy if a natural disaster affects one but not the other.
In a pure capitalist system where free markets exist, freedom of enterprise and freedom of choice exist. However, if one chooses to produce
What are lags in monetary policy? What causes inside and outside lags in monetary policy?
Suppose the local crawfish market is perfectly competitive, with the following market demand and supply: Market Demand: QD = 6500 – 100P Market Supply: QS = 1200P, where market quantity demanded (QD) and market quantity supplied (QS) are measured in ..
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