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A machine costs $980,000 to purchase and will provide $200,000 a year in benefits. The company plans to use the machine for 13 years and then will sell the machine for scrap, receiving $20,000. The company interest rate is 12%. Should the machine be purchased?
One family of social dilemmas arises where a group of people are involved in some task that depends on the efforts of each of them. The strategy choices are work or shirk. In an effort dilemma, one persons shrinking places the burden of increased eff..
If firms in an oligopolistic industry successfully collude and form a cartel, what price and output will result?
Convert the production function into its normal form. Illustrate what is the MRTS, if price of labour is $120 and the price of capital is $200?
Identify improvement opportunities based on performance measurement
Are unions good or bad for economy. How do unions at GM and Ford affect employment levels and wages How do unions affect or industries in terms of employment and wage levels.
Using the Solow growth model explain is the main reason ostensibly that developed economies need to grow all the time?
Elizabeth wishes to buy a $250,000 house in Lexington, KY. She can afford monthly payments up to $800. Thirty-year loans are available at 3% interest compounded monthly. If she can make a $25000 down payment, can she afford to purchase the house?
What are the strengths and weaknesses of game theory? What are its underlying assumptions? Devise a situation/scenario from your work (or another company in which you are familiar) in which game theory is immediately applicable. Sketch out its specif..
What can you provide as advice to a manager concerning their choice on the quantity of labor and quantity of capital.
Suppose that the government decides to increase G. Using a diagram, determine the equilibrium e acts of this shock on aggregate output, consumption, employment, and the real wage. Show that increasing G can potentially increase welfare. Compare your ..
Calculate and graph what happens to G, AD, GDP, and Prices if the government increases government spending by 100 billion and the MPC = .80. Calculate and graph what happens to T, C, AD, GDP, and Prices if the President raises taxes by 100 billion an..
If the reserve ratio is 10 percent and a bank receives a new deposit of $800, which of the following will this bank most likely to do?
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