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Assume a life with only two peroids. You van earn $100 in the current period and $135 in the second period.
a. If the interest rate is 35%, what is the maximum you can spend in the current period?
b. Id the interest rater was lower, you probably would be able to spend more than that. What would be the max interest rate that would allow you to spend $225 in the current period
The following Cobb-Douglas production function is used to describe the output generated by a local government maintenance agency. Q = L1K2E3 Where L represents number of worker hours, K represents number of trucks used, and E represents energy use..
College Financial Sources, which makes small loans to college students, offers to lend $500. The borrower is required to pay $40 at the end of each week for 16 weeks. Find the interest rate per week. What is the nominal interest rate per year.
Suppose the Lexington mayor caps the amount police can ne speeding motorists at $500. The police vow to step up enforcement in order to cintinue to deter speeding. How high must the probability of being caught speeding.
illustrate the U.S. wholesale market for roses. Show on the graph the equilibrium in that market with no international trade and the equilibrium with free trade. Mark on the graph the quantity of roses produced in the United States
Bill Oranges/ Apples 20/ 0 10/ 10 0/ 20 Brian Oranges/ Apples 10/ 0 5 /15 0/ 30 Explain who has a comparative advantage in the production of oranges and who has the advantage in the production of apples.
The table below presents the populations of Uganda, Ghana, India and Brazil in 2000 and 2010. For each of these countries, calculate the population growth rate in the period. What is the rank of countries with respect to their population growth rat..
Suppose Jean Splicer, an investor, buys $100,000 of shares of stock in a diversified bundle of Bio-tech firms and exactly one year later sells those shares for $108,000. If the value of the CPI at the date of Jean's purchase was 160, and rose by t..
Identify the incentives to produce and price the product for a traditional monopoly and natural monopoly. Is it best for society, i.e., does society receive more welfare, to have natural monopolies provided by a private firm or by the government.
Setup a two-variable regression model (i.e. write down the PRF) to examine the impact of per capita disposable income on real per capita gasoline expenditures.
Consider two possible designs for a product which are sold for $0.70 each. There are only two differences in the production of both designs: operation 1 and operation 2. The first product, A, requires 16 hours of operation 1 and 4.5 hours of opera..
What are externalities? What are positive and negative externalities? Give examples of Positive and negative externalities and give a brief introduction about your chosen merit good and explain the role of government in providing this merit good to..
the cost of equipment replacement is 150000 every 6 years, beginning 6 years from now. How much money is required in the trust fund now to build the engineering laboratory and maintain its perpetual operation and equipment replacement? The interes..
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