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A student bought a $75 used guitar and agreed to pay for it with a single $85 payment at the end of 6 months. Assuming semiannual (every 6 months) compounding, what is the nominal annual interest rate? What is the effective interest rate?
In Israel, the exchange rate is determined by the market, and the government makes no attempt to determine its level. This is an example of a (fixed or pegged exchange rate / flexible exchange rate) Fixed exchange rate systems can take which of the f..
Two clinics want to merge. The price elasticity of demand is −0.20, and each clinic has fixed costs of $60,000. One clinic has a volume of 7,200, marginal costs of $60, and a market share of 2 percent. The other clinic has a volume of 10,800, margina..
If the economy is operating at a point less than full employment (as it is now), what would we want to see happen to GDP? For right now, let's just look at the C (consumption) component of our GDP equation. What would we want to see happen to consume..
Consider your favorite Rock, Paper, Scissors game. Assume that Player 1 is not allowed to use Scissors. Construct the original 3-by-3 matrix of the game and eliminate all the forbidden and dominated actions.
Explain what action should be taken in terms of adjusting output if it is determined that marginal cost is greater than marginal revenue.
Consider the following Cobb- Douglas production for red bean coffee. q=(l^0.2)*(k^0.5). intutively, why are cobb-douglas production function more appropriate representations of reality than, say, linear production functions?
Discuss the relationships between total cost, output, and the price of labor and capital. Provide examples that illustrate how the prices of inputs affect managerial decisions. Consider, in particular, the current market for fuel and its implication ..
What are the likely consequences on the U.S. market for tobacco products for each of the events listed below? Would the supply curve or the demand curve shift? Please indicate the direction of the shift. State whether the equilibrium price and the qu..
Which statement most accurately captures the state of money today?
What is the benefit of looking at economic indicators and policies overtime? Why should we learn how the government and businesses cause and/or respond to economic events?
The marginal CO2 abatement costs for two companies are modeled as 16 + 2 A1 and 10+2 A2. The total cost functions are modeled as 16A1 + A12 10A2. Would you use the same arguments to reallocate pollution credits for different States? How about differe..
A stock had the following trades during a particular period. What was the money flow for the stock? (Leave no cells blank - be certain to enter "0" wherever required. Input all amounts as positive values.
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