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Nancy buys a house in 2000. He obtains a fixed 10% mortgage interest rate, and makes payments of $1,000 per month. The 2000 CPI is 90, the 2001 CPI is 90, the 2002 CPI is 100, the 2003 CPI is 110, and the 2004 CPI is 120.
1. What is the real mortgage interest rate in 2001, 2002, 2003 and 2004?
2. What are the values in 2000 dollars of Nancy's monthly mortgage payments in 2001, 2002, 2003, and 2004?
GDP only raise by three quarters of the expected amount. Illustrate what factors might be responsible for this situation.
Marketing managers feel it is 1st important to get an idea of the climate in country towards foreign trade and investment. Examine Indonesia's trade policies as to how they advertise or restrict international trade.
Imagine one of worst case scenarios realizes in October 2012, in which Greece does not belong to the eurozone any more, so Greece goes back to use of its own currency, Greek drachma.
Describe ways firms establish barriers to entry and explain how they benefit firms but not consumers.
Suppose a frost kills a large portion of an orange crop, with a resulting higher price of oranges. It has been said that such an increase in price benefits no one since it cannot elicit a supply response; the higher price, it is said, simply "line..
In Bayonne, New Jersey, there is a large beauty salon and a number of smaller ones. The total demand function for hair styling per day is Q=180-10P, where P is in dollars.
Illustrate what are possible causes of a movement up or down along the demand curve. What are possible causes of a movement up or down along the supply curve.
Assume that the market labor supply and labor demand equations are given through Qs = 5W and Qd = 30 - 5W. If a minimum wage is set at $4.00 (W = 4),
Are marketing ethics critical to successful marketing. What do you think marketing ethics is central to building brand loyalty.
As manager of Citywide Racquet Club, you must estimate best price to charge for locker rentals. Assume that the (marginal) cost of providing lockers is 0.
Economists consider which of the following costs to be irrelevant to a short-run business decision? In economic analysis, any amount of profit earned above zero is considered above normal because,
When manufacturer decrease price for goods and services, it increase customer’s surplus and everyone standard of living. Therefore, it behooves government to impose below market value ceiling on customers goods,
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