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Consider the following production function that is already written in per worker terms: y = Akαh 1-α where h represents human capital per worker. Suppose we are given the following information: capital per worker in an economy has been growing at 1% per year, human capital per worker has been growing at 5% per year, and output per worker has been increasing at 1% per year. What is the rate of productivity growth? Assume that α = 1/3.
What do real interest rates account for that nominal interest rates do not? The level of real GDP is a good measure of economic prosperity, and the growth of real GDP is a good measure of __________. A higher interest rate makes more attractive. Ther..
Evaluate the following assertion: Profit maximization on the part of a monopolist means that the reduction in a sales tax (which it remits to the government) will not lead to a reduction in its prices.
Over the last seven chapters you have hopefully been reading each chapter’s “running case”- Wal-Mart. Given that this chapter concerns corporate-level strategy, it is appropriate that we tie together the elements of the running case to consider Wal-M..
Assuming the politician wants to maximize votes, how should the budget be allocated between speeches and mailing flyers?
Discuss why an investor might be interested in foreign stocks and bonds instead of domestic financial instruments. What are the dangers of such purchases?
What aspects of Winthrop's views on limited government are confirmed by what takes place in the documentary? (Consider the need for a Bill of Rights, centralized government becoming too tyrannical, the benefits of local government/law enforcement, et..
Illustrate what can we conclude about the income elasticity of demand?is it positive or negative. what class of goods candy bar belongs to.
How would you describe in factor notation the present worth of a cash flow that gives you $10 in periods zero through 20, then in period 21 gives you $8, in period 22 gives $6, and so on, until period 24 when you recieve $2.
q1. ibm should never sell its product for less than it expenses to produce. if costs to produce is interpreted to mean
Analyze how a business manager might use CPI statistics for pricing decisions, production costs decisions, salary decisions, etc.
An argument can be made that the Government could improve consumer welfare by requiring companies to provide accurate information to consumers about their products. Should the Government increase, decrease or remain the same in its level of intervent..
How aggressive should Siemens be in pursuing these new technologies? Is it better to be a first mover and set the standard, or let other firms take the initial risk and then capitalize on their discoveries?
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