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In which of the following situations would you prefer borrowing?
a. the interest rate is 9% and the expected inflation rate is 7%.
b. the interest rate is 4% and the expected inflation is 1%.
c. the interest rate is 6% and the expected inflation rate is 8%
d. the interest rate is 6% and the expected inflation is 6%.
We are seeing a merging of media firms. For example, companies like Verizon now provide phone, cell, TV and internet. A common form of selling services involves putting them together in packages or “bundles” and offering them for a lower price than i..
The long-term nature of the employment relationship: motivates household members to seek market work in order to earn an income. reduces the sensitivity of wage rates to changes in demand and supply.
What sort of relationship would you expect to see between the price of bonds and the interest rate?
Derive and plot Hugo"s Engel curve for donuts. Explain how much does his weekly budget have to rise for Hugo to buy one more donut per week.
Explain the role that money plays under the Classical Macroeconomic Model. As a part of your discussion, include the impact the Quantity Theory of Money and Say’s Law have on this model and state in algebraic terms how the money supply relates to pri..
Management predicts that if the strike is successful the cost of worker will increase to $100 per day.
During the business cycle, we can expect supply side economic growth:
Annual demand and supply for the Entronics company is given by:QD = 5,000 + 0.5 I + 0.2 A - 100P, and QS = -5000 + 100P
Suppose a wage increase from $11 to $13 an hour increases the number of job applicants from 42 to 56. What is the price elasticity of labor supply?
Give an example of the type of retailer that might use this method. Explain how using this method would affect a retailer’s stock control.
Last year the owner of an auto dealership changed her sales manager’s compensation plan. Previously, the manager received a fixed compensation. After the change, the manger’s compensation was based on a percentage of sales. Compared to last year, sal..
The Honolulu tourism commission currently proposed a 7% tax on hotel rooms to pay for an outdoor amphitheater.
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