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What would happen to autonomous consumption if household debt fell and the interest rate rose over the same time period? What would happen to autonomous consumption if real wealth increased and expectations of the future became more optimistic?
Elucidate what does it mean to specialize according to one's comparative advantage and trade internationally and an example of a business using this principle.
Illustrate and fully explain using an example of relevant cost (a cost whose value does affect the optimal decision) and an example of irrelevant cost (a cost whose value does not affect the optimal decision) to the business regarding this decisio..
Kim Li, CFA, is a portfolio manager for an investment advisory firm. Li delegates some of her supervisory duties to Janet Marshall, CFA, after educating Marshall on methods to prevent and detect violations of the firm's compliance procedures. Desp..
Suppose instead that the government wishes to impose a value tax of $0.25 on each dollar of the consumer's expenditure on good 1.Show the effect of imposing this tax in a graph containing before and after budget lines.
Compute the premerger Herfindahl-Hirschman index (HHI) for this market. Suppose that any two of these firms merge. What is the postmerger HHI.
In short, the only difference is the exponent of At in the (final good) production function, so that now there are diminishing returns to ideas in that sector. Provide an economic interpretation for the first equation. What is the growth rate of kn..
Utilize the Heckscher-Ohlin and factor proportions framework with two factors, skilled and unskilled labor.
What would happens to Hi-Tech's profits and the price of books in the short run when Hi-Tech's patents prevents other firms from using the new technology.
Fed Chairman Ben Bernanke finally confess that the Fed has been printing more new currency over last some months to help stimulate the economy and more recently noted economy may not yet be out of woods,
The company's computer system uses fluid structure interaction modeling to test and analyze each airbag design concept. What is the present worth of the concept at 16% per year, compounded quarterly, if the quarterly cost in years 1 through 5 is $..
Economic indicators are economic statistics that tell us how well the economy is doing. The GDP, unemployment value, and inflation vale are the most common macroeconomic indicators.
Expalin why might a firm making a large economic profit from its existing product employ a fast-second strategy in relationship to new or improved products.
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