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Referring to The Elusive Quest for Growth:
a. Describe three panaceas that failed according to the author.
b. Discuss the impact that investment has had on economic growth. (based on part 4 of the book).
Assuming the firm has a 20-year life and the appropriate interest rate is 12 percent, should the capital spending program be implemented?
The firm need a combination of one unit of capital and two units of labor per hour to make ten units of output. The technology is such that an increase in labor has to be accompanied with an increase in capital, and a decrease in labor has to be a..
All Company in the industry have identical cost structures - the industry's total cost has fixed cost of 6000 and constant variable cost of 50.
Analyse the Argentinian crisis and its roots in the fixing of the exchange rate of the Argentinian Peso to the US dollar through the perspective of the ‘trilemma' proposed by Obstfeld and Taylor (2004).
Illustrate what will be the consumer consumption of gasoline now and how much will be the amount of rebate.
Distinguish between a carbon-tax and a cap-and-trade strategy for reducing carbon dioxide and other so-called greenhouse gases (that are believed by many scientists to be causing global warming). Which of the two strategies do you think would have t..
Assume labor is the only cost of production and labor coefficients (hours of labor required per unit of output) in MACONDO and KRYPTON for each good are as follows:
change in nonincome-determined spending
In a simple economy, suppose that all income is either compensation of employees or profits. Suppose also that there are no indirect taxes. Calculate gross domestic product from the following set of numbers. Show that the expenditure approach and the..
Suppose that as a result of many years of investment in research and development of new technologies, an economy discovers a new way of producing energy using renewable sources.
Explain how would an increase in the present rate of oil affect the time of development if the rate of price increase in the future remains at 2%.
What does the firm have a profit maximising plan in the long run. If no, explain why. If yes, is the plan unique.
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