Reference no: EM131086113
Analyze the following economy (two goods,two periods,two representative consumers with endowments).
• Xavier has Cobb-Douglas preferences over consumption today (A1 for apples today) and tomorrow (A2) of the form UX=.51 log(A1 ) + .49 log(A2 ). He begins with an endowment of 10 units for consumption today and 10 units for consumption tomorrow.
• Yuri also has Cobb-Douglas preferences but is slightly more impatient than Xavier UY=.52 log(A1 ) + .48 log(A2 ). He starts with the same endowment of goods as Xavier.
• Solve for the general equilibrium.? State the amount each person consumes in each period, the prices of both goods, and the real interest rate. Verify that all markets clear. Verify that neither party has an incentive to trade further (marginal condition).
• Hint: Remember to use natural logs.
• Hint: Do not round intermediate calculations.
• Hint: It is suggested that you solve this once with pencil & paper to understand the model and a 143 second time in excel for accuracy and repeatability. We will do this calculation repeatedly to consider the “comparative statics” of the model.
|
Calculate the angle in radians
: Write a script that will prompt the user for an angle in degrees. It will then calculate the angle in radians, and then print the result. Note: radians = 180 °.
|
|
Give an algorithm to record global state
: Consider a distributed system where every node has its physical clock and all physical clocks are perfectly synchronized.
|
|
Problem regarding the matrix tensile strength
: Compute the longitudinal strength of an aligned carbon fiber-epoxy matrix composite having a 0.25 volume fraction of fibers,assuming the following:
|
|
Nominal gross domestic product
: Suppose 2009 is the base year. From 2009 to 2010, the price index increased from 100 to 102.5. if nominal Gross Domestic Product (GDP) is $2,800 in 2010, then the real Gross Product (GDP) in 2010 is
|
|
Two representative consumers with endowments
: Analyze the following economy (two goods,two periods,two representative consumers with endowments).. Xavier has Cobb-Douglas preferences over consumption today (A1 for apples today) and tomorrow (A2) of the form UX=.51 log(A1 ) + .49 log(A2 ). He beg..
|
|
Discuss the freedom of speech section
: Discuss the freedom of speech section of the First Amendment to the US constitution and its protection and permitted regulation, of the commercial and political speech engaged in by busniness, including justification for such regulations
|
|
Determine its density upon heating
: When a metal is heated its density decreases. There are two sources that give rise to this diminishment of ρ: (1) the thermal expansion of the solid, and (2) the formation of vacancies. Consider a specimen of gold at room temperature (20?C) that ..
|
|
Find the rate of population growth
: 1) The population of a town 't' years from 2000 is P(t) = 4500 - 15t + 4t2. Find the rate of population growth in 2012.
|
|
Saw high growth with low inflation
: The 1990s saw high growth with low inflation. Give a possible explanation that would result in higher equilibrium output with a lower equilibrium price level on an AS-AD graph.
|