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Abraham and Benjamin are neighbours. They are considering the joint installation of CCTV camera near their houses so that they will be alerted of trespassers. Abraham's marginal benefit from CCTV cameras (in $) is MBA = 160 - 10Q where Q is the number of CCTV cameras. Benjamin's marginal benefit from CCTV cameras (in $) is MBB = 80 - 10Q . Suppose they are honest and always report truthfully. What is the socially optimal quantity if the cost per CCTV camera is $120?
A student bought a $75 used guitar and agreed to pa for it with a single $85 payment at the end of 6 months Assuming semiannual (every 6 months) compounding, what is the nominal annual interest rate? What is the effective interest rate?
Provide a cost-benefit analysis for a company which has to decide whether to hire more staff or hire temporary workers to meet production schedules. Determine how managers would use your cost-benefit analysis to make this decision.
How many economic activities can be seen in this particular market? Which specific goods/services are related with these economic activities?
Is it possible to distinguish between these two theories? That is, given a candidate set of parameter values under, say, model (i), are there parameter values under model (ii) that have the same predictions? Explain.
It is your first day on the job at the Itty Bitty Machine (IBM) company and your new boss wants your advice. The company has invested $10 million in its new computer software.
On October 31, 2010 the USDMXN was 10.00. On the same date in 2011, the MXNUSD exchange rate was $0.07692
microeconomic problemmary produces both hats as well as apple piesif mary uses all her resources to produce hats she
Econ 104- Describe in words (be brief) the central idea behind the calculation of a Purchasing Power Parity (PPP) exchange rate. Put another way, if we have the actual rate at which two currencies exchange for each other, why bother with the PPP v..
How does policy fit into the current macro context and what are the likely effects of this policy on the components of aggregate demand, and on equilibrium output? Specificity and detail are key in describing policies and their effects.
Supposed that the government responds to complaints about adecrease in real wages as a result of immigration by legislating aminimum real wage that is equal to the real wage in thepre-immigration equilibrium.
Explain the criteria the U.S. Department of Justice and the Federal Trade Commission would follow when deciding on whether or not to approve a proposed merger.
This section should focus on external factors that can cause markets to move, and how and why those factors influence performance.
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