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1. In practice, the m.p.c. out of current income is very high-is this necessarily inconsis- tent with the forward-looking model?
2. What would be the impact on savings if the government introduced an unemployment insurance scheme?
3. In the two-period model the consumer aimed to die with zero assets. What would be the planning horizon of parents who wished their children to enjoy the same standard of living they experienced? What is the planning horizon if every generation feels this way?
problem 1. suppose the market for oil is characterized by the demand p 7 - q where q is the total quantity supplied
Which of the following contribute to the downward slope of a demand curve - Which of the following is NOT true about profit maximization for a firm?
1.how do you know that the firm represented in the graph above is a purely competitive firm?2.to maximize profits this
Suppose a firm in a perfectly competitive industry has a short run total cost function given by TC=1100+0.02Q^2 and a marginal cost given by MC=0.04Q. If the market price is 12, what will the firm’s profit-maximizing quantity be?
1. in problem 1 charlie has a utility function uxa xb xaxb the price of apples is 1 and the price of bananas is 2. if
Briefly explain whether each of the following is primarily a microeconomic issue or a macroeconomic issue. a. The effect of higher cigarette taxes on the quantity of cigarettes sold
Critique BP's handling of the Gulf oil spill from a communications perspective. What were their central messages? What were their major challenges?
How long has Wal-Mart made positive economic profits? How long has Starbucks earned positive economic profits? Has entrepreneurs been able to innovate and otherwise compete with Wal-Mart and Starbucks?
Discuss how government regulation is either constraining or enabling viable business operations in any company. Apply practical examples to illustrate.
questionone particularly difficult aspect of analyzing the likely effectiveness of a new benefits program lies in
Discuss the pros and cons, for returning to the gold standard. Provide the positive and negative effects of reversing the current policy.
assume that a national restaurant firm called bbq builds 10 new restaurants at a cost of 1 million per restaurant. it
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