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Discuss the convergence of European nations after 1945 and compare this phenomenon with the current trend of divergence that currently exists between Europe and the United States.
Suppose that in Year 1 an economy produces 100 golf balls that sell for $3 each and 75 pizzas that sell for $8 each. The next year the economy produces 110 golf balls that sell for $3.25 each and 80 pizzas that sell for $9 each. The value of nominal ..
Consider the demand for hamburgers. If the price of a substitute good (for example, hot dogs) increases and the price of a complement good (for example, hamburger buns) increases, can you tell for sure what will happen to the demand for hamburgers? W..
In a certain kingdom, the demand function for rye bread was q = 381 − 3p and the supply function was q = 5 + 7p, where p is the price in zlotys and q is loaves of bread. The king made it illegal to sell rye bread for a price above 32 zlotys per loaf...
What is the value of the six month put option on the stock given the same underlying information for the call option. Verify that put/call parity holds for properly priced call and out options
To what extent in life can people make choices to suit us and our own good? Or does the government and big business control us, de facto, or not, (and to what extent)?
Assume the market for a commodity is described by the demand and supply functions. Determine the equilibrium price and quantity in this market.
If the number of trucks (K) decreases by 10% next year, how much will output (Q) decrease? What type of returns to scale is consistent with the above production function?
MMM expects to generate $60,000 in earnings that will be retained for reinvestment in the firm this year.
When a recession generates unemployment, it is considered: At the national economy level, technological development can generate:
q1. assume which the central bank implements a monetary expansion which is fully anticipated by financial markets. this
Assume that the marketplace for engagement rings is in equilibrium.
You would like to save money to buy a new car that costs $10,000, but currently only have $8,000 and you know you won’t have any further excess savings to contribute more to it. You have available to you a fairly good savings account which pays conti..
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