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Consider price elasticity of demand for cigarettes. What are some other products that are similarly price elastic in their demand and what factors influence their elasticity?
Consider the following distribution of income in a 12 person economy, with the modern urban wage=3, the traditional rural income=1 and the informal urban wage = 2: (1,2,3,1,2,3,1,2,31,2,1). the poverty line is at 1.3. What is the level of absolute po..
Why would cash transfers typically be preferred by recipients over in-kind transfers? What are the pros and cons of each from a government perspective? Respond to at least two of your classmates.
Explain how does the empirical rule help to explain the ways in which values in a set of numerical data cluster and distribute.
q1. scour the national news media many good sources are available online for a juicy story in which material is at the
On Friday, August 5, 2011, the rating agency Standard and Poor's downgraded the U.S, from AAA to AA+. However, the other major rating agencies -- Moody's and Fitch -- retained the AAA status for the U.S.
To determine horizontal equity, two taxpayers with
Hamsung , Inc., a manufacturer of electronic appliances, estimated the unit cost of one of its products as follows: Material costs $ 63 Labor costs $ 24 Overhead $110 $197 The overhead cost is made up of $50 per unit variable costs and $60 per unit f..
Which of the following would NOT be associated with a favourable supply shock?
Assume the size of the expenditure multiplier is ?G = 2. What is the effect of an increase in government purchases by ?G = 200 on income and the interest rate? By how much will private investment be crowded out as a result of this increase in governm..
Suppose you deposit $10,000 in a savings account that earns 8% nominal annual rate for 5 years. The interest will be compounded semi-annually. What are the periodic and the effective annual rates? What is the amount of money in the account at the end..
Defend the following terms using graphs or equations to illustrate your answers wherever feasible a. Portfolio feasible set, efficient portfolio, efficient frontier b. Indifference curve, optimal portfolio c. Capital Asset Pricing Model (CAPM) Capita..
An economist, has the following information about Lais Island, a closed economy, for the year 1820: Y = 10,000 C = 6,000 T = 1,500 G = 1,700 The economist also estimates that the investment function is: I = 3,300 – 100 r Where, r is Lais Island real ..
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