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Question: Older business cycle theories used to focus on what was called the ‘‘interaction of the multiplier and the accelerator'' to produce endogenous business cycles; the accelerator said that investment was proportional to the change in output. Under reasonable empirical estimates of the underlying parameters, such a model could be shown to generate business cycles once every four to five years. Considering that the US economy has had only two minor recessions since 1982, which do you think has changed more - the multiplier or the accelerator? What are the principal reasons for that change?
Present a real life example of price discrimination - explain what price discrimination does to producer and consumer surplus?
Formulate a linear programming model for this problem and prepare the initial tableau if the problem is to be solved using simplex
2.The demand for a luxury good whose purchase would exhaust a big portion of one's income is: a.perfectly price inelastic b.perfectly price elastic c.relatively price inelastic d. relatively price elastic
Participation in the labor force is a personal decision that can be illustrated using indifference curves and budget constraints.
suppose a monopolist faces the following demand curvep 90 2q. marginal cost of production is constant and equal to 10
How much are total fixed costs? About how much are total variable costs if 5,000 paper clips are produced? What is the price of a paper clip? What is the average revenue from producing paper clips?
How do people's budget, income, and substitution effects fit in - How do you think this influences the demand curve for indoor grill products?
A firm faces a perfectly elastic demand for its output at a price of $6 per unit of output and each hour of labor produces five units of output. For L number of workers hired each hour and w hourly wage rate, the firm faces an upward- sloped labor..
How does a budget deficit lead to an appreciating currency and a trade dificit? Explain how the introduction of the foreign sector makes the fiscal policy tool of budget deficit less effective in stimulating the open, as comapared to the closed, e..
analysing a drilling decision using an interactive model.open interactive model. there you will see a tree similar to
Identify a quantifiable measure for the company such as service time, percent of errors, etc. Select one of the following quality control tools to evaluate this data:
Do you think consumers should be concerned? In your opinion, do the potential marketing benefits of CRM* databases exceed the potential downsides - or not?
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