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1. Suppose that the Parliament of the Republic of Tiramisu passes a legislation that removes existing investment tax credits and discourage saving. Assuming the economy begins at the steady state, using Solow model with technological change:
a. Discuss the implications of this legislation. (hint: you may use a diagram to support your discussion).
b. Does this policy change permanently reduce the level of output per worker?
Banks are known to act as financial intermediaries. Between whom do banks serve this function?
Last year Hamdi Corp. had sales of $500,000, operating costs of $450,000, and year-end assets of $420,000. The debt-to-total-assets ratio was 17%, the interest rate on the debt was 7.5%, and the firm's tax rate was 35%. Assume that sales, operating c..
What action(s) should government take to correct shortage or non-competitive elements in this industry to improve efficiency and social welfare?
They estimate your share of the gas, motel, lift tickets, and other expenses to be around $50. What is your total economic cost of taking the ski trip?
Below are some possible combinations of rice and fish for people living on the Islands of Alpha and Beta. Suppose the Alphas currently produce and consume 10 pounds of rice and 60 pounds of fish. What is the opportunity cost of 1 pound of rice on Alp..
HI5003 Economics for Business. Scarce resources- which resource and in which country/industry are seen as scarce and what is being done in the industry or country. What substitutes have been used to overcome this problem! Micro economics - Choose ..
Suppose the own price elasticity of market demand for retail gasoline is -0.9, the Rothschild index is 0.3, and a typical gasoline retailer enjoys sales of $2,350,000 annually. What is the price elasticity of demand for a representative gasoline reta..
Draw the graphs that reflect the impact of corona virus in labor demand and supply curve.
Roberto is a senior citizen who consumes food and healthcare. When he retired in 2002, he consumed 90 meals and 3 medical checkups per month. Suppose in 2002 that the price of a meal was $10 and the price of a medical checkup was $64. Calculate a Las..
What patterns do you see? What factors make some industries more conducive to bribery than others?
Most of you would be familiar with the four Ps of marketing - Product, Price, Promotion, and Place. The text suggests that ethical issues arise at each stage of this matrix. Explain how this happens. Provide real life examples to bolster your positio..
What would be the pros and cons of this type of health care system? Would health care be better or worse? Would the people working in this type of system be of higher, lower or equal quality than those employed in the medical profession in the Uni..
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