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What are the key features of the consumption function? What causes consumption to rise or fall? Does the level of consumption deserve concern today?
Find (algebraically) consumer’sAutility maximizing (optimal) combination of Qax and Qay. At this point compute the level of utility enjoyed by consumer A.
Consider the Russian ruble. In recent months, the value of the ruble has fallen considerably. The typical explanation for this is that political events, in the Ukraine, in particular, have made the future value of the currency difficult to predict. S..
Why might the official measured rate of unemployment not accurately reflect “real unemployment? What has contributed to the public debt in recent times? What are the burdens associated with a large and growing public debt?What constraint do policy ma..
Why does Vellus export through local distributors rather than set up its own sales force in country? What are the risks associated with using local distributors? How can these risks be reduced?
Suppose the general public purchase $500 million in government bonds and pay for them by drawing cheques on their chartered bank deposits. 1) Calculate the (target) reserve requirement
Suppose that in 2009 the money supply was $100 billion and real GDP was $300 billion. In 2010, money supply increased by 10 percent and real GDP increased by 5 percent. Nominal GDP in 2010 was $660 billion. What was the price level in 2010? What was ..
Consider the market for bicycles. The Total Cost function is given by TC = 100 + 10q + q2 and there are 20 firms. The demand function is given by P = 120 - q. However, there are significant externalities to the production of bicycles. The governme..
What is your average total cost? Presume you could produce one more (the fifth) widget at a marginal cost of $5. If you do produce that fifth widget, what will your average total cost be? Has your average total cost increased or decreased? Why?
casea beautiful harbor town has the following characteristics it is located on an island that is mostly except for the
Define asymmetric information. Distinquish between hidden characteristics and hidden actions. Which type of asymmetric information contributes to the principal agent problem?
from the scenario assuming katrinas candies is operating in the monopolistically competitive market structure and faces
the total cost curve of a representative firm in a perfectly competitive market is given by tc18x3-1.5x211.5x where x
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