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Using information from the latest Economist Big Mac Index, can you tell me if India is overvalued or undervalued? Please explain your resealing.
Tom gains utility from consumption C and leisure L. The most leisure she can consume in any given week is 112 hours. His wage is $20. His utility function is U(C,L) = C^3/4*L^1/4. Tom receives 640 each week from her great-grandmother. What is the mar..
Conditions that exist when they shut down their operations and the conditions that exist when they resume their operations.
The deadweight loss of taxation increases with the square of the tax rate. Explain this proposition. What are its implications for the design of a value-added tax such as the GST in Canada? Is this a case in which efficiency considerations are diamet..
What price-output combination would exist with efficient pricing (MC = P)? Draw a graph with MC, Demand curve and MR curves for the problem above.
q.assume that you live in a simple economy in which only three goods are produced and traded fish fruit and meat.
If firms in a monopolistically competitive market are incurring economic losses, which of the following scenarios would best reflect the change facing incumbent firms (who are able to stay in the market) as the market adjusts to its new equilibriu..
The current spot rate between the UK and the U.S. is £0.6528 per $1. The expected inflation rate in the U.S. is 1.8 percent. The expected inflation rate in the UK is 3.4 percent. If relative purchasing power parity exists, what will the exchange rate..
q1. in 2003 a seat on the chicago board of trade cbot sold for only 338000 compared to 2.0 million for on the new york
Using the principles of supply and demand, develop a plan to alleviate the shortage of math and science teachers with and this country. Try to use price and non-price determinants as your tools to reach equilibrium. Defend your position using economi..
Which of the following are examples of economic indicators? check all that apply. Which of the following statements regarding procyclical, countercyclical and leading economic indicators is corrects? check all that apply
Why would a firm in a perfectly competitive market always choose to set its price equal to the current market price? If a firm set its price below the current market price, what effect would this have on the market? Discuss.
Suppose there is a technological change that allows manufacturers to make cell phones much more cheaply; in fact the price falls by 25%. If the short run price elasticity of demand is -0.8, how much does price change? Are cell phone producers better ..
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