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Consider a (closed) economy in which GDP (Y) equals $15 billion, consumption (C) equals $9 billion, government expenditures (G) equal $2 billion, and tax revenue (T) equals $1 billion. Use this information to answer the following questions:
a) What is investment equal to in this economy?
b) What is national saving equal to in this economy?
c) What is public saving equal to in this economy?
d) What is private saving equal to in this economy?
e) What are net exports equal to in this economy?
annual profits which estimate to be 85 million per yr for a 20 yr period. at a corporate MARR of 10% per year, Does project indicate it will make at least the MARR.
An agency is having problems with personal phone calls made during working hours.
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Describe how each of these activities affects government, households, and businesses. Illustrate flow of capital starting from one entity to another for each activity.
Solve for steady-state level of captial and output. What savings rate would be necessary to achieve a steady-state output of 150.
He has an endowment of w1 = 100 and w2 = 0 and faces relative prices p1/p2 = 2. If the relative price decreases to 1, what are the Slutzky substitution and income effects on the consumption of good 1?
Illustrate what was impact on supply and demand of labour on one sector of labour market. Elucidate factors that affected labour demand and labour supply in chosen historical example.
Illustrate what does this suggest about demand elasticity for drugs. Could it be that this experiment didn't actually measure elasticity very well and that elasticity is quite large.
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Assume that the benefits and costs of infrastructure improvements are for one time only - i.e., ignore all long run implications. What are benefits and costs of infrastructure improvements.
Suppose that a firm's production function is Q= min{K,L} . Currently, the wage is w= 8 and the cost of capital is r=8. What is the minimum cost method of producing Q=40 units of output? Suppose that wages fall to w=4. Keeping total cost the same, wha..
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