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Joe Biden became a U.S. senator in 1973 when senators were paid $42,500 per year.
His last full year in the senate was 2008 when he was paid $169,300.
The CPI value for 1973 was 44.4 and the CPI value for 2008 was 215.3.
What was the salary for 1973 equivalent to in 2008 dollars if you adjusted for inflation using the CPI?
A man went to his bank and borrowed $750. He agreed to repay the sum at the end of three years, together with the interest at 12% per year, compounded annually. How much will he owe the bank at the end of three years?
Suppose you are hired by the Martin Guitar Company as an economic consultant. You estimate the demand to be Q=8000-2P. Suppose the supply of Martin Guitars is given by Q= -2000+3P. What is the equilibrium price of Martin Guitars? What is the equilibr..
As a tourist looking to have a vacation in Europe, you are very interested in Switzerland, but you are concerned about the high prices. What other European countries would you consider?
If the economy were at a steady-state unemployment rate with a separation rate of 0.04 per month and a job-finding rate of 0.15 per month, and the labor force was 200 million, How many individuals would lose their jobs each month? What is the natural..
What is the name given to the initial shift from an authoritarian to a democratic regime? What is the name given to the increasing strength and stability of a democratic regime after a democratic transition? Which would not likely be found in a conso..
What is driving the real price of gold? Conduct an analysis of demand and supply shocks in the gold market.
No inflation stickiness: Suppose the classical dichotomy holds in the short run as well as in the long run. That is, suppose inflation is not sticky but rather adjusts immediately to changes in the money supply.
What is the economic effect of price? ceilings?
Price elasticity of demand is an important concept. With appropriate examples, explain how this concept is related to total revenue.
In February of 1999, James Surowiecki, who wrote the “Moneybox” column for Slate magazine, said: Briefly explain why this conclusion is not surprising.
What is your individual role to overcome negative externalities, free rider problems, etc. and what is the role for government in correcting for market failure?
If purchasing power parity holds, what should be the price of that same shirt in the United States if it takes 1.145 dollars to get one euro?
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