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Which of the following exemplifies privatization?
A. A country allows state-owned coal companies to sell coal to private parties.
B. A country reduces trade barriers, allowing individuals to engage in export and import.
C. A country sells its postal services to a consortium of companies that runs it as a profit making venture without any state funding.
D. A country enlists the services of SomersConsultancy, a global management consulting firm, to improve the profitability of the state-owned airlines company.
Which of the following is not an assumption of the theory of consumer behavior described in this chapter? In deciding what to buy, the consumer will choose the good with the:
Calculate GNP, GDP, and aggregate income. GDP = $ GNP = $ Aggregate income = $ b) What is depreciation in this year? Depreciation = $ c) What is NDP? NDP = $
Assume that, under a system of flexible exchange rates, Mexicans decide to increase their financial investment in Canada. As a result:
Why is NOT a good idea for Federal Government to spend money, without paying for it in tax revenues and for the Federal Reserve to increase the money supply in the economy by creating and issuing more money?
Casey’s Sprocket, Inc.’s short-run cost curve is C= ((25q^2)/K) +15K where q is the number of sprockets produced and K is the number of robot hours Casey hires. Currently, Casey hires 10 robot hours. If the market price for a sprocket is $250, what i..
What do real interest rates account for that nominal interest rates do not? The level of real GDP is a good measure of economic prosperity, and the growth of real GDP is a good measure of __________. A higher interest rate makes more attractive. Ther..
A real estate investment of $200K will result in monthly rental earnings of $1K for 8 years, and will then be sold (with certainty) for $250K. Compute the Annual internal Rate of Return for this investment.
During course of twentieth century, average workweek in United States has gotten shorter and Americans have enjoyed greater amounts of leisure time. How has this development affected potential GDP and labour productivity.
Traci consumes two goods, lemonade and pretzels. Lemonade costs $2 per glass, and she consumes it to the point where the marginal utility she receives from her last glass of lemonade is 4. Pretzels cost $3 per bag. The relationship between the margin..
Suraj Metals are expected to declare a dividend of Rs. 5 per share and the growth rate in dividends is expected to grow @ 10% p.a. The price of one share is currently at Rs. 110 in the market. What is the cost of equity capital to the company?
Consider options on Microsoft stock. Suppose that there are call options with a strike price of $10 and put options with a strike price of $10, both with the expiration date of January 16th. Compute the gross profit
A General Manger of Harley-Davidson has to decide on the size of a new facility. The GM has narrowed the choices to two: large facility or small facility. The company has collected information on the payoffs. It now has to decide which option is t..
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