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Using a simple model of the expenditure sector without any government involvement, explain the paradox of thrift that asserts that an increased desire to save may not lead to an increase in actual saving.
The American people express a relatively high degree of confidence in the military as an institution yet express less confidence in Congress than in other major institutions. Could people be holding various institutions to different standards, and if..
The United States is a net exporter of services to China. What does this imply about the magnitude of the deficit in the U.S. balance on goods and services with China compared with the size of the U.S. merchandise trade deficit with China?
Tweedledum and Tweedledee live along the Gulf Coast, where there is a risk of hurricanes but insurance providing either full or partial coverage is available at its actuarially fair price. Tweedledum is risk averse, whereas Tweedledee is risk seeking..
A new machine would cost $18,000, have operating costs of $1,000 in the first year, and have a salvage value of $10,000 at the end of the first year. For the remaining years, operating costs increase each year by 15% over the previous year’s operatin..
Assume that the demand for a product X is heavily influenced by the price of another product Y (Py), and the income of consumers (I). The cross-price elasticity of X with respect to Y is exy = 1.25, and the income elasticity is eI = 2. Are X and Y co..
Insert a paragraph or two that summarizes your knowledge of conflict management techniques, how you gained this knowledge, and provide examples of how you have applied this knowledge throughout your personal, academic and professional experiences
To identify a country other than the United States for someone seeking portfolio diversification I would first need to understand their investment goals. The investor could seek a diversified portfolio thats aggressive, balance, or conservative. My a..
Describe the options at the disposal of the government to finance a fiscal deficit. What are the relative advantages and disadvantages of each option?
An analyst makes the following statement: “A firm should add the total capital raised in a convertible bond issue to its debt balance when estimating the cost of capital and should ignore the equity portion until the bonds have been converted, at whi..
What are the five myths about economic recovery? What are the arguments that the private sector will be slow in creating jobs in this recession?
If a hard freeze eliminates premium coffee crop, illustrate what will take place to the price of premium coffee.
What is the nominal GDP in 2011? What is the real GDP in 2011 (using 2010 prices)?
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