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Dependence of the saving rate, population growth rate, and depreciation rate on the capital intensity. Assume that the production function satisfies the neoclassical properties. a. Why would the saving rate, s, generally depend on k? b. How does the speed of convergence change if s (k) is an increasing function of k? What if s (k) is a decreasing function of k? Consider now an AK technology. c. Why would the saving rate, s, depend on k in this context? d. How does the growth rate of k change over time depending on whether s (k) is an increasing or decreasing function of k? e. Suppose that the rate of population growth, n, depends on k. For an AK technology, what would the relation between n and k have to be in order for the model to predict convergence? Can you think of reasons why n would relate to k in this manner? f. Repeat part e in terms of the depreciation rate, δ. Why might δ depend on k?
Deposits with the federal reserve bank are part of a commercials bank's a)capital b) reserves c) loans d) lliaibilties
Compare and contrast the two basic approaches to dealing with pollution caused by economic activity: the Polluter Pays Principle versus the Precautionary Principle.
The SEC regulations require u.s. corporations to publish operating results on a quarterly basis. How does this short term time frame impact long term profit maximization?
Operating Cash Flows. Laurel's Lawn Care, Ltd., has a new mower line that can generate revenues of $120,000 per year. Direct production costs are $40,000 and the fixed costs of maintaining the lawn mower factory are $15,000 a year.
1. monopolysuppose that the inverse market demand curve for a new drug adipose-off designed to painlessly reduce body
The return on investing in a machine is 5% and the inflation is 4%.
You've been asked to apply your decision-making skills and analysis to the merchandising of JMI's travel product stores. Much of the floor display space is taken up by innovations department. Describe the type of accounting quantitative data you wi..
Presume that Kim K decides to spend $30,000 on an American made purse instead of donating it to Haitian earthquake relief. Suppose that the multiplier is 1.2. How much will GDP rise when Kim K buys her purse according to the multiplier effect?
As part of a broad effort to invigorate its pipeline and move more aggressively into biotechnology, a major pharmaceutical company plans to set up a new division dedicated to developing bio therapeutic drugs and research technologies.
Suppose you suddenly realize that your demand estimates might have some uncertainty in them. How might you change value of surplus you give to the customers because of this?
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Find the future value of $10,000 invested now after five years if the annual interest rate is 8 percent. What would be the future value if the interest rate is a simple interest rate? What would be the future value if the interest rate is a compound ..
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