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Fifteen families live in Willow Canyon. Although several water wells have been drilled, none has produced water. The residents take turns driving a water truck to a fire hydrant in a nearby town. They fill the truck with water and then haul it to a storage tank in Willow Canyon. Last year truck fuel and maintenance cost $3180. This year the residents are seriously considering spending $100,000 to install a pipeline from the nearby town to their storage tank. What rate of return would the Willow Canyon residents receive on their new water supply pipeline if the pipeline is considered to last
(a) Forever?
(b) 100 years?
(c) 50 years?
(d) Would you recommend that the pipeline be installed? Explain.
When a war breaks out in the Middle East, the price of gasoline rises, and the price of used Cadillac falls.
Why do some companies spend a lot of money for advertising? What does it say about a the market structure the company is in when they advertise a lot or a little?
Calculate the coefficient of price elasticity (midpoints approach) for Goldsboro's supply.
Solve for market equilibrium price and quantity. Illustrate your answer with a diagram of market. What are dollar values of consumer and producer surplus.
Shocks to an economy, such as wars, famines, or the unification of two economies, often generate large flows of workers across borders. What are the short run and long run effects on an economy of a one-time permanent increase in the stock of labor? ..
What are the differences between economic and accounting concepts of cost? How would you manage the costs associated with a value-creation activity? How do costs of operations relate to the strategy of the organization?
Discuss the concept of the “optimal amount of inequality.” What are some of the practical problems in determining how much inequality really is optimal?
What is the least you would be willing to accept to sell your house? c. Why are the answers to the above two questions different?
The Table below provides hypothetical data on macroeconomic accounts for three countries represented by A, B, and C, and measured in billions of currency units. S = private household saving; T = taxes; G= government spending; and I = investment.
Describe the culture depicted in the film. This should include their name and location along with a description of their beliefs.
Are these ever mentioned? Explain. Q3) How would you compare the events of September 11, 2001 to those reasons listed? Q4) What is the difference between a "bull market" and a "bear market"?
Illustrate wow would the existence of such insurance affect the amount of clothing that people buy. How would you evaluate this change in behavior from the standpoint of economic efficiency.
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