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Assume that a national restaurant firm called BBQ builds 15 new restaurants at a cost of $1 million per restaurant. It outfits each restaurant with an additional $300,000 of equipment and furnishings. To help partially defray the cost of this expansion, BBQ issues and sells 300,000 shares of stock at $35 per share. a. What is the amount of economic investment that has resulted from BBQ’s actions? $ million. b. How much purely financial investment took place? $ million.
Consider a market characterized by the following inverse demand and supply functions: PX = 10 - 2QX and PX = 2 + 2QX? Compute the loss in social welfare when an $8 per unit price floor is imposed on the market.
Illustrate a form of financial instruments through which corporations and governments borrow money from financial investors and promise to repay with interest.
q.assume that when an economy has a gdp of 500 consumption is 550. the mpc is .75. investment is 25. begin the problem
research where you would find the u.s. international trade policies and their history as they apply to various
Explain the difference between ex-ante and ex-post real interest rate. Why don't investors know the ex post rate when they make their initial investment?
From 1990 to 2004, the Celtic Tiger, Ireland, experienced annual growth in RGDP of 6.4% while the capital stock grew at 4.8% per year and employment grew at 2% annually. Labor’s share of Income was 60%. What was the growth rate of Total Factor Produc..
Illustrate what should the Fed do if it wants to stabilize aggregate demand.
q1. when the price of ketchup rises by 15 the demand for hot dogs falls by 1 b are the goods complements or
Do the relative salaries of humanities professors and football coaches at major state universities reflect the relative value of football and humanities? Do they reflect the number of years that professors and coaches must spend acquiring an educatio..
What is the value of the price index in 2014? What is inflation from 2013 to 2014?
Oregon has an income tax but no state sales tax, while Washington has no state income tax but does have a state sales tax. Oregon residents can deduct the state taxes they pay (the income tax payments) from their federal income taxes, while Washingto..
A firm in a perfectly competitive industry has the following cost function: C¡= $50+ $1.80 * Q¡ - $0.048*Q¡²+ $0.004* Q¡³ A. At what quantity is average variable cost a minimum? B. How many units would the firm produce if price = $1.80
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