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1. What is Marginal Propensity to Consume (MPC) and what does an MPC of 0.9 tell us about consumption and saving? Use an example to explain MPC
The state of Glottamora has $100 million remaining in its budget for the current year. One alternative is to give Glottamorans a one-time tax rebate. Alternatively, two proposals have been made for state expenditures of these funds.
Payments under some retirement plans are based on the average earnings in the last few years of employment. Discuss the potential incentive effects of this policy.
What is the price of the car if the interest rate is 12% per year compounded monthly - what would be the equivalent uniform monthly payment?
Given the total cost function C=q3+5q2-12q-75 write out a variable cost (VC) function . Find the derivative of the variable cost function, and interpret the economic meaning of that derivative.
1.Why are both the price elasticity of demand and the price elasticity of supply likely to be greater in the long run?
Marty's Frozen Yogurt is a small shop that sells cups of frozen yogurt in university town. Marty have three frozen-yogurt machines.
Explain how marketing communications can affect consumers cognitively based attitudes. Contrast emotional and fear appeals. Use an example to illustrate your discussion.
They result in wealth transfers from the franchiser, who paid for these termination provisions in terms of lower franchise fees, to the franchisee.
Sports names such as the Nortre Dame "Fighting Irish", the Florida "Seminoles", the Cleveland "Indians", and the Atlanta "Braves" have been under pressure to change their names. Do these names affect communication?
"What must AutoEdge do," he says, "to obtain economies of scale with production? How do we know that it has achieved economies of scale? Conversely, how do we know if it is achieving diseconomies of scale?"
1.Think of two things that are provided free of charge.
How would your answer to question 3 change if you were told that the data represent 10 different plants during a particular month of the year?
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