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A 10-year, 9% bond, issued by Cheap Motors Manufacturing on January 1, 2000, matures on December 31, 2009. If investors require a 12% return, how much should they be willing to pay on January 1, 2004? (Face value of the bond is $10,000, and interest is paid annually.) (Answer: $8766)
Determine marginal product of labor. Show whether or not the above production function exhibits diminishing marginal productivity of labor.
q1. are all expenditures of a government included in the calculation of gdp for that nation? explain why or why not? if
Market demand for a given year is QD = 31,622,776.60·P^-1.25. Solving the function for price yields inverse demand: P = 1,000,000·Q^-0.8. Therefore, marginal revenue is MR = 200,000·Q^-0.8. If the monopolist has a total fixed cost of $2,000,000 and a..
Assume that when an economy has a GDP of $500, Consumption is $550. The MPC is .75. Investment is 25. Begin the problem by setting up an Income/Consumption Schedule like the one on page 220 of your text. Set up only the first two columns (1) and (2)...
1. Contrast keynes and Leijonhufvut policy perspectives on recessions and depressions. 2. A "macroeconomics that is consistent with sustainability development" should adhere to the principles of which economist?
q1. how short is the short-run production period?enlighten cost advantage of a firm operating at constant returns to
What is stark law? and what they are designed to do, the impact of the exceptions, and whether you think they are successful in preventing unethical behavior.
A film processing laboratory uses 37.5 liters of developer per week and is open for business 50 weeks in a year. Administrative and other costs of ordering a consignment of developer are $15 and it costs $10 to keep one liter of developer in stock fo..
Suppose that in a simple, competitive, two good (X and Y) small open economy, the world relative price of the import good X falls. At these new prices, the new quantity of X and Y consumed in the country will now cost more than the quantity of X and ..
What would have happened if there had been no laws against price gouging and the price of gasoline immediately after Sandy had hit $50 per gallon?
(i) Construct a payoff matrix for this game. (ii) Determine whether each firm has a dominant strategy and, if it does, identify the strategy. (iii) Determine the optimal strategy for each firm.
Imagine economy where everyone lives for 2 periods: youth and old age. Each period a new generation of young people is born equal in size to last period's old generation, who are now gone. Time goes on forever. Suppose there are 20 people at any time..
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