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A bank classifies borrowers as high risk and low risk. Only 15% of its loans are made to those in the high-risk category. Of all its loans, 5% are in default, and 40% of those in default were made to high-risk borrowers. What is the possibility that a high-risk borrow will default?
If in the closed private economy the aggregate expenditure equilibrium is 470 billion. If exports of 12 billion and imports of 12 billion are now added as well as an additional 70 billion in spending by the government and given a marginal propensity ..
The Demand and the inverse demand for good X are Q = 150 - P and P = 150 - Q
How should a Middle Eastern company evaluate the success of a strategic alliance? Identify relevant criteria and discuss your reasons for including them. Describe why they are relevant across industries, cultures, and geographic locations.
Chris’s Outdoor Furniture, Inc., has net cash flows from operating activities for the last year of $380 million. The income statement shows that net income is $355 million and depreciation expense is $48 million. Calculate the end-of-year balance for..
Bob Edwards owns a pastry shop. Bob hires an economist who assesses the shape of the pastry shop's average total cost (ATC) curve as a function
Explain why sharp decline in oil prices might not necessarily have positive or negative impact.
Suppose 100 identical firms produce in an initial competitive market: P=10-Q/200 and P=1+Q/200. Find the competitive equilibrium price, industry output, and firm output. If they form a cartel what would be the profit maximizing output and price.
Explain clearly by being specific about the type of the mechanism and policy for each year
If a nation chooses to reduce consumption and increase investment, how would this affect economic growth?
Which strategy offers both Westinghouse and General Electric the best financial outcome. Among which of the following is an example of a good with an inelastic supply.
The structural engineering design section within the engineering department of a regional electrical utility corporation has developed numerous standard designs
Some states are required to balance their budgets at all times. When a recession starts, is this requirement stabilizing or destabilizing? Explain your answer
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