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Suppose the economy has a natural rate of unemployment of 5%.
a. Suppose short-run output over the next four years is +1%, 0%, -1%, and -2%. According to Okun's law, what unemployment rates would we expect to see in this economy?
b. Consider another economy in which the unemployment rate over the next three years is 6%, 7%, and then 4%. According to Okun's Law, what are the levels of short run output (Y tilde) in this economy?
Why would your company have bid with a zero mark-up on some past tenders? Why didn't it win all of those contracts and what is the bid price that maximizes the expected contribution of the contract
Prepare a brief paper defining direct and indirect channels of distribution. Discuss what are the key advantages and disadvantages of each channel for your company?
Derive the profit frontier, and explain why total profits fall as the firms redistribute profit between themselves by redistributing output.
Firm operates in a perfectly competitive market in which the market price is $10 per unit. What is its profit-maximizing rate of production?
Why is an M-form more likely than a U-form to be an efficient way of organizing a university and to organize the schools within it?
An accountant for a car rental company was recently asked to report the firm's cost of producing various levels of output. What is the average fixed cost of producing 2 units of output? What is the average variable cost of producing 2 units of output..
You have been contracted by an economic consulting company to estimate the economic structure and possible future actions of OPEC, Organization of Petroleum Exporting nations.
Suppose you have three indivisible assets, A, B and C with internal rates of return 2%, 5% and 10% respectively and initial costs of $1, $4, $5. Suppose you have $6.5 at 1% and can borrow at 8%. What is the incremental cost of funds on asset B?
Economic opportunities happen from nations which develop industries in which they have a comparative advantage and describe the concept of comparative advantage.
Societies are frequently concerned about whether police are vigilant in carrying out their responsibilities. Many societies have experimented with incentive compensation for police.
Give a specific example for each ( US Companies ). Which one is better market from the stand point of producers? Which one is better market on the stand point of consumers?
The demand for tickets at each game is q = 100,000 - 6,000P. If the capacity of the stadium at that university is 40,000 seats, what is the revenue maximizing price for this university to charge per ticket? I already know the answer is $10. I need..
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