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If the nominal GDP is $2 trillion in 1990 and $6 trillion in 2000, and if the GDP deflator is 300 in 1990 and 600 in 2000, then what is the real 2000 GDP in 1990 dollars?
Draw the supply and demand curves on the same diagram. Determine the equilibrium price and quantity and demonstrate it in your graph. Demonstrate the impact of a government price control set at P = $12 also P=$8.00. Demonstrate by number and in the g..
What are the Two General Theorems of Welfare Economics? What implications do they have for the “welfare state”? What are the ‘first best’ assumptions necessary for these theorems to hold? How realistic are these assumptions?
A project proposal for a new product will require a buildup of $50,000 of inventory in year 0 before sales are started. Associated with this, accounts payable will also increase by $20,000 in year 0.
If countries can benefit with increasing their consumption possibilities through trade, why do so many countries place restrictions on trade?
A large employer gives each new hire an aptitude test, which is scored from 1 to 20. Let T be a worker's score on the test. The firm then pays the new worker a wage of w = 0.57' + 0.5G where G is the average score for the worker's gender: 16 for wome..
Suppose a consumer' preferences are represented by the utility function U = MIN(5X, Y). The price of Y is PY = 1, and the consumer has income, M = 120. a) Graph the consumer's Price consumption curve for prices, PX = 1, PX = 3, and PX = 5. Be sure..
Suppose you could produce one more (the fifth) widget at a marginal cost of $5. If you do produce that fifth widget, what will your average total cost be? Has your average total cost increased or decreased? Why?
What factors influence the demand for this product and What factors influence the supply of this product - How have these changes in supply and demand affected the equilibrium price of this product?
How does the Federal Reserve manipulate our economy to foster economic growth and research at least three specific policies instituted by the Federal Reserve.
Do you think that there should be equal opportunity in a just society? What would you mean by this phrase? Do you think that it is a realizable ideal? Describe John Stuart Mill's concept of utilitarianism.
Explain the difference between a normal good and an inferior good. Would your answers to question #7 change, depending on whether this good is a normal or inferior good? Why or why not?
Sketch the two projects NPV profiles.
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