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Martin Corp. produces a good (called X) that is a normal good. Its competitor, Dana Corp. makes a substitute good that it markets under the name Y. Good Y is an inferior good.
a. How will the demand for good X change if the price of good Y increases?
b. Is good Y a lower-quality product than good X? Explain.
Your profit from winning the auction is equal to (200-bid)*probability of winning. Show that your profit maximizing strategy is bidding half of your valuation.
Assume that the MPC=0.6 for every consumer in the economy. You have just received a tax cut of $20000. How this action by the government will affect your spending plans? What would be the total effect on the economy of this action? (Assume that t=0, ..
1. Give some examples where Data mining techniques are being used 2. Discuss different available tools and their benefits to the business industry
Give an example of how an organization may use household data and individual data as part of their CRM strategy. How would these data sets affect their marketing strategy?
Let XX be the number of people that order vanilla dip donuts with rainbow sprinkles in a week.
What is the difference between government expenditures and government purchases? How do the two variables differ in terms of their effect on GDP?
Cost in terms of pain, discomforts, disabilities involved in supply of factors of production by their owner are termed as ______a) Real cost b) Explicit cost c) Social cost d) Implicit cost
The market risk premium is 10% also government risk-free bonds are payingIllustrate what is its Weighted Average Cost of Capital.
Harper Engine Company needs $600,000 to take a cash discount of 1.5/10, net 60. Abanker will loan the money for 50 daya at an interest cost of $12,100. What is the effective rate on the bank loan? How much would it cost (in perecentage terms) if Harp..
When Jennifer is healthy, her utility level is 99. However, there is 0.15 chance that she will get sick. Once she is sick, her utility level drops to 17. What is Jennifer's expected value of utility?
If the market for grapefruit is in equilibrium without any outside intervention to change the equilibrium price:
What happens to the price of both the Call and Put Option as we get closer to the expiration date?
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