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Question 1
Suppose that a small tropical country produces mangoes for domestic consumption and possibly for export. The total demand and supply curves for mangoes in this country are given by the following: P:50-Q (Demand) P:25+Q (Supply) Where P is their price and Q the quantity (in tons)
(a) Draw a demand and supply diagram (Make sure that you show the y-axis intersects for the demand and supply curves)
Unemployment is one of the major concerns that people have in today’s economy, since losing one’s job can be one of the most devastating events a person can experience. What is the labor force participation rate? What was the labor force participatio..
Suppose the employees of Starbucks in China are paid 8 yuan per hour and a cup of coffee is priced at 8 Yuan. If Starbucks is maximising its profit, What is the value of marginal product of labour (VMPL) per hour of the last worker employed by Starbu..
Discuss whether the above scenario complies with all the requirements for the formation of a valid contract?
Suppose in a two-period small open economy model there is a limited commitment friction and the possibility the nation could default in the current or future period. Suppose that, if the nation does not default, then the limited commitment constrain ..
An analysis of the role of information systems in an organization. Explain why information systems are so important to organizations. Also explain the positive and negative effects information systems have on an organization, and why.
What do the monopolistic firms and the Trans Pacific Partnership (tpp) have in common and how the monopolistic firm will be effective. Will the profit increase or decrease.
Assume each shot is independent of the others. If she shoots 6 arrows, what is the probability of each of the following results?
A team of researchers has estimated the following regression showing the relationship between mistakes per hour and hourly wages:
Life has become yet more complicated. Government spending works with a distributed lag. Now when $1 billion is spent today, GDP increases by $1 billion this period and $1.5 billion next period.
The expected salvage value of the furniture is $5,000 in 2015. Determine the recovery period for the furniture and its depreciation deductions over the recovery period.
Using the value of MPC = 0.8, and knowing the difference between the values of expenditure multiplier and the tax multiplier, it can be safely stated t hat the reduction of taxes by $40 0 billion (other things staying the same) , Estimate increased l..
Describe the “natural rate of unemployment” and the estimates for the U.S. What are some of the possible ways in which we could reduce the natural rate of unemployment?
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