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What factors explain wage differentials? why do movie stars get paid much more than school teachers? The answer must be explain the concepts as if your explaining it to a person who have no knownlege with the subject.
An individual utility function is given by U(c,h) = c*h, where c represents consumption during a typical day and h hours of leisure enjoyed during that day. The real hourly market wage rate the individual can earn is w = $20. For the graphical analys..
As parts of a project to monitor traffic in town, the governor secured a grant for $3.5 million that paid for 200 traffic cameras. If the 200 cameras are equal to 20 police agents, each having a salary of $65,000 per year, what is the rate of return ..
Two division managers at King Size Manufacturing have been in a long discussion with top management about allocation of capital spending over the next three years. His bonus is based on total sales and he wants a larger bonus for himself and his mana..
In the year of the shock, compute the value of GDP, price level, interest rates, and real money supply. Hint: Derive IS and LM equations to find GDP and interest rates. Calculate the new long-run equilibrium values for income, prices, interest rates,..
how to deal with the question of working capital - use of excess production facilities and building space?
Suppose you work as research economist at the EPA. There are two firms that operate in a perfectly competitive marker. This implies that each has the same marginal benefit curve, which in this case is horizontal at MB= $100. Each of the firms, howeve..
Illustrate what would be total incremental investment in accounts receivable and invent theory to support expected increase in sales.
What would happen in the apple market if the government set a minimum price of $2.00 per apple? What might motivate such a policy? Is there a shortage of on-campus parking at your school? How might the shortage be resolved? (William Paterson Universi..
The Gentle Warming Company is purchasing a new cooling system. To pay for the system, the company agrees to make 12 installment payments of $8186 per year, beginning at the end of year 1.
Human Resources Manager Stan Gomez finds that he is spending a lot of time talking with supervisors about employee absences. Stan, is the Human Resource Manager works for Custom Call Services, a contract customer service-call center that provides yea..
One of the impacts that can erode the standard of living is inflation. The gov't uses the CPI to measure inflation. What is the CPI? How is it calculated? What are the uses of the information?
Suppose that each worker in the Home country can produce three cars or two TVs. Assume that Home has four workers. Graph the production possibilities frontier for the Home country. What is the no-trade relative price of cars at Home?
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