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Instructions: Respond to one of the following discussion prompts by applying what you've learned in the course (e.g., approach these prompts like an economist and use the concepts and tools learned). The OP should be 1-2 paragraphs.
Prompts:
According to a Wall Street Journal article "MCI, in New Phone War Skirmish, Files Suit over AT&T Ad Claims," MCI was upset with AT&T over allegedly false claims that AT&T's service is cheaper than MCI's. Based on this data, estimate the equation for ..
In the following table, select the amount of each good that each country exports and imports in the boxes across the row marked "Trade Action," and enter each country's final consumption of each good on the line marked "Consumption."When the two coun..
Assuming an upward-sloping AS curve, if an economy is at full employment and investment spending decreases while all other levels of spending remaining constant, then the price level
Calculate de marginal product of labor. Find the numerical value of MPL when and. In the equilibrium if we consider that the economy employs 8 workers.
You have maxed out your $10,000 credit card, which is being charged 12.8% interest compounded daily. What is the minimum monthly payment to continue to break even? How much should you pay each week to get out of debt within one year?
No additional working capital is needed and no working capital will be returned. If your tax rate is 35% and you require a 14% return on your investment, what bid price should you submit?
Recall the Application about the size of Walminus−Mart to answer the following? question(s). During? 2008, Walminus−?Mart's sales were approximately? $374 billion, or roughly 2.6 percent of U.S.? GDP, and its cost of sales was? $286 billion. Accordin..
What is the current requirement of the law in the US in terms of the payroll tax levied on firms and workers? Based on our discussion in the previous chapters, what are the empirical estimates of the elasticity of labor supply and labor demand?
Suppose that for a particular economy and period, investment was equal to 100, government expenditure was equal to 75, net taxes were fixed at 100, and consumption (C) was given by the consumption function: C=25 + 0.8YD where YD is disposable income ..
In 2010 and 2011, the government of Greece risked defaulting on its debt due to a severe budget crisis. Show, using the bond market graphs, the effect on the risk premium between Canadian government debt and comparable maturity Greece debt.
The demand function for a good is Q = 200 – 10P where Q is the quantity and P is the price. Calculate the price elasticity of demand at prices of $5, $10, and $15 (i.e., as the price changes from $5 to $10 and as it changes from $10 to $15) to show h..
Some companies raise their workers' pay by giving raises, but others prefer to give one-time bonuses instead. Think about two steel mills facing a big two-year drop in steel demand. In one steel mill, workers have received pay raises every year for f..
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