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A cannery is considering installing an automatic case-sealing machine to replace current hand methods. If they purchase the machine for $3800 in June, at the beginning of the canning season, they will save $400 per month for the 4 months each year that the plant is in operation. Maintenance costs of the case-sealing machine are expected to be negligible. The case-sealing machine is expected to be useful for five annual canning seasons and then will have no salvage value. What is the payback period? What is the nominal annual rate of return?
ECO 63B Assignment. Consider the following Cobb Douglas production function where Y is maize output, X1 is labour input, and X2 is the capital. Derive the model specification that can be estimated by using the ordinary least squares (OLS) technique
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Explain why, in the Tiebout model of local public good provision, efficiency will not be achieved if there are externalities across city borders from the public
A hospital in a town has one dialysis machine that can run for 30 hours per week. As the boss of the hospital, you must decide who gets the treatment. how you will allocate the 30 hours, in order of preference using economics?
Does Defense Spending include transfer payments? Does Welfare (TANF) include transfer payments? Does Interest payments on government debt include transfer payments? Does social security include transfer payments?
If ABC adds an assembly line for the product and XYZ does not follow with a competitive product.
What are the fiscal policy instruments? What are the fiscal policy types? Currently the economy is facing an inflationary gap and the government is extremelyconcerned with the rapidly raising prices.
Discuss the differences between unemployment and underemployment and give examples of each. Which do you think is a more serious “problem” for the economy? How might underemployment be addressed through government policy?
Give an example of how the Principle of Opportunity Cost applies to your life. Think of a recent decision you made. It could be a decision as simple as whether to eat out or cook your own dinner, or it could be a decision to quit your job and go back..
A firm’s marginal cost curve above the average variable cost curve is equal to the firm’s individual supply curve. This means that every time a firm receives a price from the market it will be willing to supply the amount of output where the price eq..
An automobile factory sold $10,000,000 in automobiles to final consumers. Given these events, calculate the GDP of Autoland using a. the final goods approach. b. the value-added approach.
Category Amount:: Durable Goods $1,000, Non-Durable Goods 2,500, Services 7,000,Fixed Investment 1,800, Changes to Business Inventory 35, Investment in Stocks & Bonds 5,500, Federal Government Purchases 1,200, Imports into the United States 2,600 Usi..
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