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A consumer receives income y in the current period, income y in the future period, and pays taxes t and t' in the current and future periods, respectively. The consumer can lend at real interest rate r. the consumer is given two options. First, he or she can borrow at the interest rate r but can only borrow an amount x or less, where x < we - y + t. Second, he or she can borrow an unlimited amount at the interest rate r2 where r2 > r. Use a diagram to determine which option the consumer chooses and explain your results
Elucidate how much they can accumulate over 25 yrs if they move the money into a money market mutual fund earning 5 percent.
Companies that reduce their margins on export products in the face of appreciation of their home currency may be motivated by a desire to
State whether the following firms are experiencing economies of scale or diseconomies of scale.
The quantity of pizzas demanded soared the following week from 1 pie an hour to 100 pies an hour. Illustrate what was price elasticity of demand for Domino's pizza.
You can either imagine which your organization has received a complaint from a customer or client about a product
q. college enrolment increased at the same time that average tuition rose dramatically. does this contradict the law of
q1. people sometimes talk about lsquotwin deficit where the twins are the current account and the government budget
Externalities Public Goods Lack of Information in the market Too much competition all the above are reasons for market failure
Do these public goods conform to the law of demand. For which public supplies is demand price elastic.
Approximately how much output should the firm allocate to market 2? What is the approximate price that will be charged in market 1? What is the approximate price that will be charged in market 2?
Be sure to clearly indicate what happens in the market for loanable funds, to net capital outflow, and in the market for currency exchange.
Suppose that he can earn 5% on this long-term account, that he will make 40 deposits, and that he will make the first withdrawal one year after the last deposit. How big can Francisco's withdrawals be?
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