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Scottish political economist Adam Smith didn't trust situations where the people who provide the money for a business don't actually manage the company. In The Wealth of Nations, he observed that such managers don't watch over the investment with the same anxious vigilance with which the partners in a private [company] frequently watch over their own. How do corporations attempt to protect the interests of stockholders? Do you think that those safeguards are effective?
Elucidate how free market features could be introduced to help improve the problem. As your answer also include a discussion of the risks of introducing market mechanisms.
Explain how do payroll taxes levied on earnings of workers affect their decisions about Explain how much leisure they consume?
Assume stock returns can be explained through the following three factor model:
Which of the government policies below is not likely to encourage per capita economic growth.
Name 5 stylized facts about the business cycle.2. Rank order these three ideas from "most optimistic about how a temporary tax raises consumer spending" to "least optimistic" about the same, and explain.
What nominal rate per month is equivalent to an effective rate of 3.8% per quarter, compounded continously?
illustrate what type of unemployment will then occur. What is the natural rate of unemployment.
Does either player have a dominant approach Does either have a dominated approach. Explain.
Elucidate why does strong mono tonicity implies local non satiation but not vice versa
After set up there is a marginal cost of $ 4 for each CD. Set up the total, average and marginal revenue functions for GDM. Write out the company TM s total average and marginal cost functions.
Critics argue that countries relying on primary exports will experience problems of fluctuating and declining terms of trade. Explain the theory and evidence behind these arguments, and how these problems can reduce the gains from primary export t..
Explain which of the two classmates would you prefer as a partner. Would he also want you as a partner.
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