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Trixie is considering buying a new car at a cost of $13512. She is planning to keep the car for five years and is hoping the car will sell for $5395 at the end of year 5. She estimates that insurance, fees, maintenance, and gas will be $633 in year 1 and will gradually increase every year by $105. What is the equivalent uniform annual worth (EUAW) of this car at a 2% interest rate?
Suppose that basketball players are, during any given game, in one of three states: Hot (they make 75% of their shots), Normal (they make 50% of their shots), or Cold (they make only 25% of their shots). Suppose Steph Curry is Hot. What is the probab..
Suppose two countries, A and B, with the same production function Y = K? L1?? . The value of is 0.30, the growth rate of population is 2% and the depreciation rate is 5%. Show that with price-taking firms the share of labor must be 1? Compare both e..
The Einstein Bagel Corp. offers a frequent buyer program whereby a consumer receives a stamp each time she purchases one dozen bagels for $6. After a consumer accrues 10 stamps , she receives one dozen bagels free. This offer is an unlimited offer, v..
Select one market segment, and describe in one or two paragraphs what features the cell phone might have in order to be attractive to this segment.
Show how the following demand curves are likely to shift in response to the indicated changes: a) The effect on the demand curve for umbrellas when rainfall decreases. b) The effect on the demand curve for apple juice when the price of orange juice d..
Construct a representative indifference curve for each of the following situations. (Note: Even though some of the goods described exist only in discrete quantities, draw the IC assuming the goods exist in continuous quantities). The two goods are wa..
In the Keynesian framework, which of the following event might cause a recession? Which might cause inflation? Sketch AD/AS diagrams to illustrate your answers. 1-2) Rapid growth in the economy of a major trading partner.
A sample of human resource executives was asked how their company planned to change their work force over the next 12 months. a categorical response variable showed 3 options: add employees, no change, lay off employees.
The government introduces a new regulation according to which all carpenters must have a license. Assuming that the market for carpentry services is perfectly competitive, explain the effect of the licence on an individual carpenter's (i.e. the suppl..
Define and explain fiscal policy, explain the difference and workings of expansionary versus contractionary fiscal policy, budget deficit versus budget surplus. Describe excessive increases and decreases in aggregate demand; what do they cause, how d..
What is the marginal rate of substitution (MRS) and why does it diminish as the consumer substitutes one product for another? Use examples to illustrate.
The lag between the time the need for physical action is recognized and the time action is taken is referred to as the
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