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Bank 1 and Bank 2 are considering entering a compatibility agreement that would permit the users of each bank's automated teller machines (ATMs) access to the other bank's ATMs. Bank 1 has a network of branches and ATMs extending from the U.S. to Mexico. Bank 1's 12 million customers currently have access to only the 10,000 ATMs owned by the company in the U.S. While Bank 2's core account holders are located in Mexico and the southwestern portion of the United States, the company is expanding across the United States. Bank 2 has 15 million customers who can use any of its 14,000 ATMs.
1. Using the idea of network externalities, describe how such an agreement between Bank 1 and Bank 2 would benefit consumers.
2. What is the business rationale for such a strategy between Bank 1 and Bank 2?
If $2,000 is invested now, $2,500 two years from now, and $3,000 four years from now at an interest rate of 6% compounded annually, what will be the total amount in 10 years?
Discuss Angell's criticism of the psychopharmacological approach to mental illness.
Public goods can be produced by either the government or the private sector. Private goods can be produced in either sector as well. The problem is that the market tends to underproduce public goods and overproduce private goods.
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Succinct description of current macroeconomic policy in Australia and appropriate assessment of its effectiveness. Useful conclusions and recommendations about the future direction of policy including threats to current policy settings.
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A 50.0 mL portion of 0.500 M NaOH was diluted to 294.3 mL. What is the new molarity?
Legislative bodies impose price controls to help a part of the economy; who benefits and who is harmed by price ceilings and price floors?
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