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Suppose you have $20,000 cash today and can invest it at an interest rate of 10% compounded each year. How many years (to the nearest one-tenth year, xx.x) will it take you to become a millionaire?
when potential output grows 4 percent per year. Suppose also that the Fed is following the Taylor rule, with an inflation rate of 2 percent over the past year. The federal funds rate is currently 3 percent.
Read the following text and answer the questions below: Discuss the limitations of this model as an explanation of the effects of government expenditure on GDP.
Suppose that initially G is $100 and equilibrium real GDP demanded is $1,000. If the multiplier is 4 & G increases to $200, real GDP demanded will increase
Maggie's utility function is and her income is $5000. Then her MRS at generic bundle (x1, x2) is 50-0.25x1. Commodity 2 is a composite good, and hence its price is unity.
Provide brief but theoretically sound explanation for each of the following.
the owner-manager of good guys enterprises obtains utility from income(profit)and from having the firm behave in a socially conscious manner, such as making charitable contributions or civic expenditures. can you set up the problem and derive the ..
1-year T-bill rates are expected to steadily increase by 150 basis points per year over the next 6 years. Determine the required interest rate on a 3-year T-bond and a 6-year T-bond if the current
Explain why do you think we have laws that prohibit discrimination in pay based on sex or race but permit employers to discriminate in pay based on education or experience.
US importer needs £ 1million payment 3-months later also he sign a forward contract today. Better sign a forward contract today also not sign a forward contract today.
You are planning to build a new home with approximately 2000-2500 gross square feet of living space on one floor. In addition, you are planning an attached two-car garage (with storage space) of approximately 450 gross square feet.
how would outcomes be affected if people, on average, preferred to work for themselves rather than for someone else, i.e., if on average people preferred self-managed to alienated labor?
Spell out the types of policies also practices companies should develop if they want to keep their workers from unionizing.
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