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You currently have $575,000 in your retirement savings account. You would like to have $2,000,000 when you retire 15 years from today. How much must you deposite (in equal amounts) at the end of each of the next fifteen years in order to reach your goal if you can earn 7.5% per year on your deosits?
“If the assumptions of the median voter model hold, then using majority voting to determine the amount of a public good purchased by a city will lead to either an efficient level of the public good being provided or an under-provision of the public g..
As a professional tennis player, an individual earns $300,000 per year. If employed as a model, the next-best option, this person would earn $120,000 per year. What is this tennis player's economic rent (profit)?
Proponents of a balanced budget argue that the government's budget deficit cannot grow forever, but critics believe that this is not necessarily the case. They argue that what matters is the size of the debt relative to the nation's income.
Suppose that capital per hour of work grows by 3 percent and technology grows by 1 percent over a one year interval. What is the growth rate of real GDP per hour of work? Show the formula and all work. To understand what causes productivity growth, w..
Consider how each of the following events is likely to affect real GDP. Do you think the change in real GDP reflects a similar change in economic well-being?
Which of the following statements represent a use of money that is consistent with its definition?
As we have briefly discussed earlier in the course, fiscal policy and monetary policy are the two most commonly used tools for influencing a nation's economy. An example of fiscal policy would be increasing spending on the military or the implementat..
The United States is experiencing a recession and Congress decides to adopt an expansionary fiscal policy to stimulate the economy.
Maintenance costs for a small bridge with an expected 50-year life are estimated to be $1,000 each year for the first five years, followed by a $10,000 expenditure in year 15 and a $10,000 expenditure in the year 30. If I = 10% per year, what is the ..
Use “John Maynard Keynes – capitalism faces its challenge,” in Big Three in Economics by Skousen as your resource to answer the following questions: What was the economic context in which Keynes was writing? How did that affect his economic views?
Using your knowledge of the amount of time required for the many components of the federal government to agree upon and implement changes in policy (i.e., tax codes, the welfare system), can you think of any problems with using fiscal policy to stabi..
How has the emergence of different types of health insurance plans—FFS, health maintenance organizations (HMOs), preferred provider organizations (PPOs), and capitation—affected the trends in healthcare services today?
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