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Question1) Describe how each of the following will affect the market for crude oil. Make sure you highlight whether supply or demand is affected and whether value will increase or decrease. If possible illustrate each answer with a diagram.Case 1. The government subsidizes the transition to vehicle powered natural gas.Case 2. Job growth remains poor for several years.Case 3. A new technology makes it cheaper and safer to explore deep sea bed reserves.
Question2) Describe the profit maximization condition of a business. What is normal versus supernormal profits? If a small business makes normal profits does it mean the owner does not get paid?
Question3) What are some reasons that would justify the intervention (regulation, taxation, etc) of government in the economy?
Question4) Suppose you are the CEO of a multinational corporation which wants to invest in India. What are some risks you will face? How would you mitigate them?
Question5) BONUS (optional) question for extra credit: What will be some of the consequences if Congress fails to raise the US debt ceiling?
What is the marginal opportunity cost of services in each country? Who has the comparative advantage in factory-stuff?
Tests are supervised by skilled mechanics utilizing equipment produced by two leading competitors in the auto test equipment company
Elucidate how could this technological change contribute to ending bottlenecks and rush hour congestion. What are some of the problems that might develop with such a system.
The TiVo video recorder, the iPod music player and the Xbox game machine all owe their existence to the same high-tech innovation: smaller, denser, cheaper disk drives.
Suppose a hedge is desirable, what hedging techniques are available to the treasurer and what are the advantages and disadvantages of each.
Elucidate factors would you consider before investing in the emerging stock market of a developing country.
Assume there are only two automobile companies, Ford and Chevrolet. Ford believes that Chevrolet will match any value it sets, but Chevrolet too is interested in maximizing profit.
Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?
A certain machine expenses $25,000 to purchase and install. It has salvage values and operating costs as demonstrate in the table in the attached file. The salvage value of $20,000 listed at time 0 reflects the loss of installation costs at the time..
Some real estate economists have argued that anchor stores in shopping malls create significant externalities for overall sales.
Tyvex LLC produces professional quality color laser printers. The market for professional color laser printers is monopolistically competitive. Suppoe that the inverse demand curve faced by Tyvex
What elasticity of demand did the Village Administrator seem to assume here in his prediction for 1970- 1971? Compute the approximate elasticity of demand (round off, two decimal places is close enough).
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