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1. When the income-tax rate declines, as it did in the United States early in this decade, does the multiplier go up or down? Explain why.
2. Discuss the pros and cons of having a higher or lower multiplier.
If the newer equipment is purchased, it will have end-of-year O&M costs of $8,000 and a salvage value of $20,000 at that time. If the old equipment is retained, it will have to be supplemented in years 3, 4, and 5 by leasing a hi-def add-on unit c..
What is the equilibrium outcome for this game? What kind of contract should the board offer? What level of effort should the CEO choose?
Why might those opposing free trade in the short run differ from those opposing it over a longer period? What groups in an industrialized country might feel a conflict on this issue, because they realize that the short- and long-run impacts of fre..
calculate the present value of the stream of services.
Which of the following microeconomic tools aids monopsony employers in identifying the required wage level?
Why do externalities imply that there may be too little expenditure on research by private firms?
Explain how each of the following is a form of price discrimination:a. a student discount at the movie theater b. long-distance phone service that costs 15 cents per minute for the first 10 minutes and 5 cents per minute after 10 minutesc.
Refer to Table 6.3. Find out the rate of growth of expenditure on durable goods. What is the estimated semielasticity? Interpret your results. Would it make sense to run a double-log regression with expenditure on durable goods as the regressand a..
The heat loss through the exterior walls of a certain poultry processing plant is estimated to cost the owner $3,000 next year. A salesman from Superfiber Insulation, Inc., has told you, the plant engineer, that he can reduce the heat loss by 80% ..
What is the variable cost - Please calculate the average cost function for skateboards.
Following is a multiple regression in which dependent variable is market value of houses and independent variables are the age of the house and square footage of the house.
What is meant by this statement and by the concept of land reform? Give some examples of supportive policy measures that might accompany land reform.
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