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Question
Assume that technological improvement existed in the economy during 1990s, holding capital per worker (K/L) constant. What will happen to the output per worker (Y/L) and the LRAS? (Hint: use the labor market and the production function to determine potential GDP)
The U.S / Euro exchange rate and the relationship between the economies of the United States and the European Union.
What are the advantages and disadvantages of using a theoretical model to describe networking? Provide examples to support your thoughts.
In this exercise you are asked to compute the inflation rate according to the Consumer Price Index. Imagine that a country produce four goods: Apples, Oranges,
Illustrate that there are any extra costs or benefits due to this shift.
Firm incurs two types of costs of production: fixed costs and variable costs. Can you name an industry where the fixed costs are relatively high compared to the variable costs? Can you name another where the variable costs are relatively high compare..
A firm’s labor demand and labor supply equations are shown below. The equilibrium wage is $? and the equilibrium quantity of labor employed is ? people.
If, in the short run, a perfectly competitive firm is producing at a point where total cost is greater than total revenue, then the firm should.
A certain population of the annual incomes of unskilled laborers has a standard deviation of $1200. A random sample of 36 such incomes results in a sample mean
What is the difference between positive and normative economics? And please give an example.
Describe and explain the meaning of the “Invisible Hand”. Describe what it does, how it works and benefits.
A monopolist demand curve and MR curve are separate. There are two different customers with two different elasticities but you still want to maximize profit (with MR=MC for each customer separately). A price discriminating defence monopolist manufact..
Suppose the marginal corporate rate is 40% and that the interest tax shields have the same risk as the loan.
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