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Modify the neoclassical economy (without technological change) by introducing costs of adjustment in investment as in the q-theory of investment studied in Section 7.8. Characterize the steady-state equilibrium and the transitional dynamics. How do the implications of this model differ from those of the baseline neoclassical model?
As a budding entrepreneur, you have purchased a small bakery. After some market research, you have estimated that your customers' willingness to pay for a donut/coffee combo falls into 9 categories ($2.75, $2.50, $2.25, $2.00, $1.75, $1.50, $1.25,..
A new truck can be purchase for $84,000. Its expected useful life is six years, at wich time market value will be zero. Annual receipts less expenses will approximatetely $18,000 per year over the six-year study period. Use the PW method and MARR ..
Compare and contrast their fiscal and monetary policies during a recent economic growth and recessionary periods. How have their policies lead to economic stability?
Based on your research, write an 6-8 page paper that researches the concept of internet telephony, as well as providing an analysis and comparison of several telephony technologies currently available.
Find (all) the partial derivatives (e.g. ?u/?x and ?u/?y) of the following functions: 1. Q(p,I) = 300 - 3p - 4I 2. u(x,y) = 10xy 3. u(x,y) = ax? y? 4. z = (x+y)2 5. z = 2x3-11x2y +3y2
Suppose that the marginal damages to society from air pollution are MD=e-25, where e is the level of air pollution. Suppose also that the marginal cost of reducing the air pollution on the part of firms is MC=200-2e.
Compute the ATC for the small plant and large plant.
Use the data above to graph the aggregate demand and aggregate supply curves. What is the equilibrium price level and the equilibrium level of real output in this hypothetical economy Is the equilibrium real output also necessarily the full-employ..
suppose that the following represents the estimated sample regression results for thenbspnbsp heights and weights of a
Consider two economies with identical technologies and identical initial conditions but with different corporate tax rates, τ and τ' . Determine the relative income of these two economies (as a function of time).
ASSUME THAT THE CONSUMPTION SCHEDULE FOR A PRIVATE OPEN ECONOMY IS SUCH THAT CONSUMPTION C = 50 + 0.8Y. ASSUME FURTHER THAT PLANNED INVESTMENT Ig AND NET EXPROTS Xn ARE INDEPENDENT OF THE LEVEL OF REAL GDP AND CONSTANT AT Ig = 30 AND Xn = 10.
a. Find the optimal soulution using the graphical soulution procedure and the value of the objective function b. determine the amount of slack or surplus for each constraint c. suppose the objective function is changed to max 5A+2B.
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