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Important information about Utility function
Consider a risk averse agent. He faces a health risk of D(he/she has to go to the hospital and pay D, and he/she will be fine) with probability k. He/she can buy insurance at price q (that is he/she can buy at cost q a contract that pays 1 dollar if he/she has to go to the hospital). How many units of the contract will the agent buy if the price is q=k?
Assume total benefits also total costs are given. Elucidate level of Y will yield the maximum net benefits.
Milton Friedman faiths in a steady growth monetary policy. Illustrate what does that mean and critique this approach.
Compute the elasticity of demand for every parameter.
Explain how much should the store charge for an yearly membership in order to extract the entire consumer surplus via an optimal two-part pricing strategy.
Compute point elasticities at prices of 5 and 9. Is the demand curve elastic or inelastic at these points.
Illustrate what accounting tools also reports would you use. Use the Library and internet to re-explore value chain management.
Describe the dimensions of quality from micro- and macro-perspectives. What are the different formats or models and applications of quality? Discuss the top three in your opinion.
Illustrate to what extent is Walmart's financial health affected by fiscal also monetary policy.
Explain why dose not raise in aggreate demand translate into an increase in real GDP.
Discuss how each of the following developments would affect the supply of the money, the demand for money, and the interest rate. For each case, describe what happens in closed economy and in small open economy. Describe your answers with diagrams.
Find the optimal level of inputs L* and K* that minimize the cost of producing Q0. What is the cost of production associated to L* and K*?
Elucidate why does the Fed like to fight inflation in our economy and is inflation a concern right now given our current economic situation.
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