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Q. The government purchases component of GDP does not include spending on transfer payments such as Social Security. Thinking about the definition of GDP, explain why transfer payments are excluded.
Q. Consider a good whose consumption takes place publicly. On what factors would your decision to buy that good depend?
Illustrate by how much (what percentage) does the consumer facing a 15% marginal tax rate alter his or her level of charitable giving as the result of the deductibility of charitable contributions?
GDP is significantly lower in your country than in the United States, Illustrate what might this imply.
What is meant by "risk premium". Risk premiums on corporate bonds are usually anticyclical; that is, they decrease during business cycle expansions and increase during recessions. Why is this so.
From the supply and demand schedules, from Belgium what are the equilibrium price also quantity of cocoa beans.
Illustrate what is the net current value of a project that requires a $100 investment today and returns $50 at the end of the first year and $80 at the end of the second year? Assume a discount rate of 10%.
A car manufacturer claims that its vehicles average at least 25 miles per gallon.
the demand for on campus student housing at the university of Idaho, in Moscow, Idaho. The college has 2,000 rooms for rent. Illustrate what is the equilibrium rent and how many rooms are rented.
Illustrate what is the euro-denominated return on Dutch deposits for this investor. What is the (riskless) euro-denominated return on British deposits for this investor using forward cover.
The Solow Growth Model. In 2010, Japan was a large open economy with perfect capital mobility that was at its steady state.
What would be price and profit levels would prevail based on the assumption that a new entry into the local market results in competitive market pricing.
Illustrate what monthly profit would she realize with that level of business during the next 3 years.
Elucidate the meaning of value added and its importance in the income approach. Consider the following data for the selling price at each stage in the production of a five-pound bag of flour sold by your local grocer. Calculate the final market va..
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