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Question: Assume that a country's production function is: Y = AL0.7K0.3
(a) The ratio of capital to output is 3. The growth rate of output is three percent. The depreciation rate is four percent. What is the marginal product of capital in this situation? Hint: Use calculus to differentiate the production function with respect to K.
(b) If the economy is in a steady state, what must be the savings rate? Explain.
(c) (Hard) What should be the target savings rate for this country? Graphically explain what savings rate will be the ideal savings rate for this economy.
Conduct an internal and external environmental analysis, and a supply chain analysis for your proposed new division and its business model.
Does the equal marginal principle apply to personal decisions when you have limited income and time? How do you allocate a limited amount of study time when faced with three exams on the same day?
Last year the US low-cost-carrier Spirit Airlines entered the Dallas-Chicago market. The average ticket price for all airlines servicing the route fell from $200 to $180. After Spirit's entry, the number of passengers increased from 700 to 800 pe..
just need two or three paragraphs concisely discussing...the profit maximizing level of output is the ultimate goal of
Find the Pearson correlation coefficient between the adjusted daily closing price of NFLX in 2014 and adjusted daily closing price of NFLX for: one trading day prior; two trading days prior etc. up until 20 trading days prior, and plot these in a gra..
Teton National Park in Wyoming In addition to uncovering the marginal benefit to visitors from a given number of trips, the researchers also considered how the population of bighorn sheep affects the marginal benefits from visitation. This study reve..
Based on your understanding of the economic theory of supply and demand, describe why the price of oil has continued to fall so much even though the consumption of oil has not decreased substantially
Explain rationale behind the surge of mutual fund (open-end and closed-end and load and no-load fund) as investment alternatives compared to stock and equities.
Estimate the demand for natural gas by each group over the entire period using a simple linear regression. How confident would you be in concluding the coefficient estimates are not equal to zero?
Read the opening case on Boeing 787s, and research for the updated information on the Boeing 787s. Identify the pros and cons of assembling a plane with many different parts and manufacturers as Boeing did with the 787. Assess whether Boeing’s approa..
Does a decrease in the magnitude of the MPS have the effect of increasing, decreasing, or not changing the size of autonomous spending multipliers (that is, the investment or government spending multiplier)?
How does the public budget-making process interact with the goal of accurate benefit and cost estimating for these large projects? Contributed by Morgan Henrie.
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