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Consider a neoclassical production technology for real GDP given by Yt= AtK1/3t(HtLt)2/3, where Atis TFP, Kt is capital, Ltis labor,and Ht is the human capital of the labor force (representing factors like health and education). If the economy is growing at 10% a year, capital is growing at 9% a year, the labor force is growing at 3% a year, and human capital grows at 1% a year, what must the long-run growth rate of TFP, A, be? Would the inferred contribution of TFP be higher or lower if we failed to account for the contribution of human capital, Ht, in our growth accounting exercise?
For the Pittsburgh Development Corporation problem in Section 4.3, the decision alternative to build the large condominium complex was found to be optimal using the expected value approach. Consider the small complex decision. How much could the payo..
Describe two factors contributing to the gender pay gap. Write one equation or one graph for each.
To pay off ?$60,000,000 worth of new construction bonds when they come due in 19 ?years, a water municipality must deposit money into a sinking fund. Payments to the fund will be made? quarterly, starting three months from now. If the interest rate f..
Which of the following are correct statements about the Avraham and Schazenbach paper examining the effects of tort reform on heart attacks?
Explain to what extent the neoclassical growth theory (e.g. Solow Swan model) that emphasize capital accumulation and total factor productivity.
Suppose the demand for apartment rentals in New York is Q = 1000 - P and the supply of apartment rentals is Q = 4P. What is the equilibrium price and quantity of apartment rentals in New York?
Following an increase in Mexican prices would interest rates relative to U.S. interest rates, which caused Mexican investors to borrow abroad to invest domestically, which of the following would occur?
There is a range of chemical indicators that can be stored inside packages or attached to the outside of the wrapped package prior to sterilisation.
Can you explain how pooling--via an intermediary, e.g.-- can be used to create liquidity: how does pooling allow intermediaries to issue liquid claims on themse
q1. suppose you have 7000 in savings when the price index is at 100. if inflation pushes the price level up 10 what
Each potential bidder writes down a bid on a piece of paper. buyer with highest bid gets item and has to pay third highest bid. Is there dominant strategy equilibrium for this auction. Make sure you exhaust all possibilities.
Public Goods: Suppose that weather forecast systems require funding in billion-dollar chunks, and that each billion dollars invested in weather forecasting doubles your odds of getting the forecast right—that if you spend nothing your forecast, pure ..
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