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Suppose you are currently earning $15 an hour. If the inflation rate over the current year is 10 percent and your firm provides a cost-of-living raise based on the rate of inflation, what would you expect to earn after your raise? If the cost-of-living raise is always granted on the basis of the past year's inflation, is your nominal income really keeping up with the cost-of-living?
Suppose the government imposes a price floor of $25, and agrees to purchases any and all units consumers do not buy at the floor price of $25 per unit a. Determine the cost to the government of buying firms' unsold units. b. Compute the social wel..
Staff inc, a management consulting company, is surveying the personell of Acme Ltd. It determined that 35% of the analysts have an MBA and that 40% of all analysts are over age 35. Further, of those who have an MBA, 30% are over age 35.
The government collects $7 in taxes and spends $10 on locally-made goods. Firms borrow $7 and make $7 in domestic investment spending. The government and firms buy no imports what is Germany's current account balance
Consider the simple linear regression model without an intercept, y = ß1x + u, with the assumption E(u|x)=0. Also assume that E(x)=0 Show that E(y)=0 and using this as well as E(x)=0 show that the covariance between x and y is given by E(xy) and that..
Test the intercept estimate for significance at the 95 percent confidence level. If Proposition 103 has no impact on auto insurance premiums in any given county, what percent of voters do you expect will vote for the proposition
The Columbia Company manufactures a battery-powered saw. Due to increased demand during the past few years, Columbia has increased plant capacity for the saw to 300,000 units. The firm's expected output and sales for the next year in their normal..
Kristina knows that deadweight loss is something that this small town can do without. She suggests that each household be required to pay a fixed amount just to receive any electricity at all, and then a per-unit charge for electricity.
velocity 8 8 Real GDP12,00012,000 a,find the price level for 2012 and 2013 What is the rate of inflation between the two years b,What is the rate of inflation between the two years if the money supply in 2013 is 1,100 and output is 2013 is 12,600
suppose you owe $1,100 on your credit card. the annual percentage rate is 18% compounded monthly. the credit card company says your minimum monthly payment is $ 19.80 a. if you make only this minimum payment, how long will it take for you to repay ..
As a budding entrepreneur, you have purchased a small bakery. You have engaged in a market study to categorize your customers' willingness to pay for a donut/coffee combo into 9 equal sized groups: ($3.00, $2.75, $2.50, $2.25, $2.00, $1.75, $1.50,..
an alumnus of West Virginia University wishes to start an endowment that will provide scholarship money of $40,000 per year beginning in year 5 and continuing indefinitely. The donor plans to give money now and for each of the next 2 years.
The U.S. market requires hardcover books with a marginal cost of $24.00 while the overseas market is normally served with soft-cover texts having a marginal cost of only $18.00.
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