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If there is a permanent increase in the production function that shifts the aggregate supply curve by 20 units to the right, then so long as there is no change in the expected profit stream of projects, the cost of projects, or uncertainty of the future profit change, consumption will increase by units.
If David's only illness this year results in an appendectomy, explain how many days will he choose to stay in the hospital.
Explain how will you consider the structure of the fresh salmon industry to calculate the forecast. Will you advise the firm to enter the industry.
What is the economic rationale behind Airline mergers? Bring both supply side (costs) and demand side (revenue) considerations into your answer. Simple diagrams would be beneficial.
Super Tennis Co is in the business of designing and manufacturing running shoes for long distance runners. They are considering a $500 million upgrade to their production line for the iPhone/iPad/ iWatch connected shoe that has Bluetooth connectivity..
Assume which incidence of HIV in the population is .005. Compute the yearly premium of the 1st policy.
You are asked questions about 5 mutually exclusive candidates described as follows (all quantities are in thousands):Candidate 1: Present worth of costs = $1,000; Present worth of benefits = $8,000
Delta Corporation has a bond issue outstanding with a semi-annual coupon with a nominal rate of 8% and 5 years remaining until maturity. The par value of the bond is $1,000. Determine the current value of the bond if present market conditions justify..
In GDP is $5 trillion in Yr 1 and $5.4 trillion one year later. What is the GDP growth rate? If rGDP in Yr 1 was also $5 trillion what can you say about Yr1? If rGDP grew 5% between Yr. 1 and Yr. 2 what did GDP prices do?
John has the utility function U = Min{x,y}. The price of x is 1, the price of y is 1, and his income is 50. a) Find John’s optimal bundle. b) Suppose now there is a discount for the first 20 units of x John buys such that px=0.5 for those first 20 un..
Four years after the $13,500 deposit, half of the accumulated funds is transferred to a fund that pays 8% interest compounded quarterly. How much money will be in each account six years after the transfer?
Why are coal miners in China paid higher than factory workers even though they have received more or less the same level of education and training? Why are workers with good looks paid higher in some jobs, but not in others?
Outline the First and Second Welfare Theorems and their implications for the role of government. How can we use them to analyse the trade-off (if one exists) between efficiency and equity?
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