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Question
Suppose after you graduate from Algoma University, you find a job that pays you $65,000 a year. Further suppose that after you have your first job, you would like to buy your dream car - Toyota RAV4 -- that you were always longing for. Since you do not have enough saving yet, you plan to take out an automobile loan of $34,152.86 for 60 months at an annual interest rate of 5.29 percent, with payments to be made monthly. What will your monthly payments be? If the interest rate increases from 5.29 percent to 6.45 percent, how much will your monthly payments increase? Instead of 60 months, you decide to pay off your loan in 84 months, what will your monthly payments be if the interest rate remains at 5.29 percent or increases to 6.45 percent? Develop a chart comparing these monthly payments. Show your work.
GDP (or GDP per capita) is a common measure for a country's standard of living. Discuss the shortcomings of using GDP in this way.
In your report, briefly describe the six misconceptions about international trade and share your personal thoughts about the article.
Why is it important that prices are flexible in the economy? Do you think government should be involved in manipulating prices?
Discuss the components of Gross National Product? How does it understate aggregate production in Third World countries where substantial economic production may be consumed directly
Important differences exist between perfect competition and oligopoly. Show your understanding of these differences by listing the following terms under either "Perfect Competition" or "Oligopoly" in the table below.
If a straight line passes through the point x = 12 and y = 4 and also through the point x = 4 and y = 8, the slope of this line is
Use the AD-AS model to illustrate the impact of a reduction in net exports on the general price level and the level of real production and income in the economy
Why would the simple Keynesian consumption function predict that this strategy would work and the nominal interest rate cannot fall below zero. What might the Fed do to try to achieve the optimal real interest rate you calculate in Part b?
When figuring the number of people unemployed, is it the laborforce - the number of employed adults What abou adults in the military the nonadult population institutionalized adults and nonmilitary, non institutionalized adults not in the labor fo..
Barter system vs currency system - Whats the difference - object or unit, generally stable in value, that can be traded in smaller or greater quantities
While computers can help us to work more efficiently, they can also be profoundly frustrating and unproductive. Have computers and IT really improved productivity?
What is the standard monetary policy response to a recession? What are the government's three policy options to fight inflation using fiscal policy? What impact would this have on the federal budget?
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