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Insider trading (trading on the stock exchange to one's own advantage through having access to confidential information) is also a crime. Explain why insider trading is a crime. Who is the victim? Is there a private victim as well as public victims?
When the wage rate increases, individuals recognize that the opportunity cost of leisure has risen, choose to substitute labor for leisure, and thus offer to work more hours. This is called the
q1. assume that an investor is risk-neutral i.e. suppose that an investor always chooses the investment with superior
Every demand curve must eventually hit the quantity axis because with limited incomes, there is always a price so high that there is no demand for the good. Do you agree or disagree? Why?
Using appropriate diagrams and notations,carefully explain the relationship b/n elasticity, total revenue and marginal revenue. 2,discuss the uses of elasticity of demand.
Its demand curve can be written as P = 160 - Q and its short run total cost curve is equal to TC = 1000 + Q^2. What is the rate of output that maximizes ZZZ, Inc.'s short run profits?
Evaluate a company's recent (with in the last year) actions dealing with risk and uncertainty. (Southwest Airlines)
Recall the looser pay winner auction experiment done in class. discuss how these experiments explain why the bidders changed their minds toward wanting to bid well above the value of the prize, even though they refused to do so at the beginning.
If mortgage rates rise from 5% to 10% but the expected rate of increase in housing prices rises from 2% to 9% , are people more or less to buy houses. IRs was lower in the mid-1980s than in the late 1970s, yet many economists have commented that real..
One morning, you are the first caller to identify a song contest hosted by a local radio station. As a prize, you won a free concert ticket worth $50. Unfortunately, the concert is the same night that you have to work at your $10/hour job. If you wen..
An asset costs $20,000 and is in the 5 year property class. O&M costs are $2,000 the first year, $3,000 the second year, $4,000 the third year, etc. Salvage values are $12,000 after one year, $9,000 after 2 years, $6,000 after 3 years, and $4,000 the..
Explain the aspects of expansionary and contractionary fiscal policy. During which phases of the business cycle would each be appropriate?
We know that the optimal consumption point is where the Indifference Curve is tangent to the budget constraint (i.e., MRS=Relative Price). Why are points along an indifference curve that intersect the budget constraint less than optimal?
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