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Problems and Applications Q1
Indicate what components of GDP (if any) each of the following transactions would affect. Check all that apply.
A. Consumption
B. Investment
C. Government Purchases
D. Net Exports
You pay a domestic plumber for fixing a leak in your bathroom.
New York hires workers to plow snow after a snowstorm.
Uncle John orders 10 new computers for his finance business.
Uncle Paul pays a domestic contractor for renovating his home.
You buy a new Toshiba computer.
Ford manufactures a Focus and adds it to its inventory.
Uncle John receives a check from the federal government for unemployment insurance benefit.
Dell sells a desktop computer from its inventory to the Johnson family.
Research the Mark Cuban's Insider Trading Scandal and find out what is "insider trading" and why it is illegal.
What are the definition of and an example of income elasticity?
A firm’s Total Cost as a function of output Quantity is described by TC(Q) = 2Q3-8Q2 + 12Q + 4. What is the firm’s Fixed Cost? (exactly). At what Quantity is Average Variable Cost = Marginal Cost? (exactly)
At an interest rate of 14% per year, what must the market value of the used vehicle be in order for its AW value to be the same as the AW
illustrate what do you think will characterize the goods which the EU exports to the United States also the goods which the United States exports to the EU.
Calculate the output level that will maximize profit. Calculate this maximum profit.
Sara Cook took an exam on entrepreneurship and business ownership. She was asked to identify which business organization in the United States has the largest number of firms and which has the largest receipts. She got an A on the exam. How did she an..
What could firm A do to make its threat credible without building excess capacity? Will firm A use the low price as a threat if firm B enters?
How does having a menu that is uniform around the country provide McDonald’s with economies of scale? Why is menu planning made more complex by expanding into other countries? Define “market structure.” What factors are considered in determining the ..
What are price indexes designed to measure. Outline how they are construed. When GDP and other and other income figures are compared across time periods.
Ethics begins at home. What moral and ethical problems do you observe around your school? What seems to be causing the collapse of values, if that is what you perceive? Or what keeps students on a moral and ethical journey?
Explain why if there is no formal or informal collusion in an oligopoly market firms are more likely to match a price cut by an individual firm than they are to match a price increase? If firms in an oligopoly do indeed behave in this way (matching..
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