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Explain greshams law in your own words without the help of sources. Show examples of how greshams law is used in the retail industry today. (In your own words, and knowledge. No plagiarism).
q1. suppose that the market for wheat is characterized by the following demand and supply relationshipsdemand
The price elasticity of demand is -1.2. What type of elasticity is this?
Consider competitive markets, monopolies, and oligopolies. Illustrate what role does each of these play in an economy.
Suppose real GDP is growing 3 percent, the money supply is growing at 10 percent, the velocity of money is constant, and the real interest rate is 5 percent. What is the current inflation rate and nominal interest rate?
The U.S. Department of Justice (DoJ) uses the Herfindahl index to evaluate the impact of a proposed horizontal merger between firms on the degree of market concentration. Companies A and B merge, calculate the pre and post-merger Herfindahl index. Wh..
Max has the utility function U(x, y) = x(y + 1). The price of x is $2 and the price of y is $1. Max’s Income is $11. How much x does Max demand? How much y? If his income doubles and prices stay unchanged, will Max’s demand for both goods double?
Suppose that for a firm that digs ditches for laying cable or pipeline, backhoes and backhoe operators are pure complements in production, being used on a one-for-one basis. Draw the isoquants (on a graph with backhoe, “K”, and backhoe operators, “E”..
Suppose the market for cigarettes is characterized by the following information: Qd=70–5P [Demand] Qs=3P–10 [Supply]. Calculate the magnitude of the consumer surplus and producer surplus in the pre-tax equilibrium. Calculate the tax revenue in the po..
The charter boat fishing industry has a marginal benefit (demand) for fishing trips out of Irondequoit Bay which can be expressed as a linear function of the price of the trip and the number of trips taken out of the port. This marginal benefit curve..
DHL prides itself on having its own staff of more than 300,000 people spread across the globe, instead of relying on local agents.
Alternative I require an initial investment of $20,000 and will yield a rate of 15% per year. Alternative C which requires a $30,000 investment will yield 20% per year. Which of the following statements is true about the rate of return on the $10,000..
Discuss the different ways that the Federal Reserve measures money. How reliable do you think these measurements might be?
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