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Figure 3-4 is a basic illustration of the Solow growth model. Interpret it, being careful to explain the meaning of the saving and investment requirement lines. Why does the steady state occur where they cross?
The MorTex Company assembles garments entirely by hand even though a textile machine exist that can assemble garments faster that a human can. Workers cost $50 per day, and each additional laborer can produce 200 more units per day
Suppose you are a manager of a firm that produces products X, Y and Z. You know that there are two different types of consumers, type 1 and type 2, who value your products differently. You also know that there 10,000 type1 consumers and 50,000 typ..
On her 23rd birthday a young female engineer decides to start saving toward building up a retirement fund that pays 8% annual interest, compounded quarterly (market interest rate). She feels that $600000 worth of purchasing power
Given a two period model and an inverse demand curve for a depletable resource is P= 10 - 0.2q and the Marginal Cost is constant and equal to 3. a)What is the static efficient level of consumption for the resource b)If the discount rate is zero
The reading for this module discusses panel data and the use of pooled cross-sectional analysis. Post a research question you would be interested in pursuing. Then discuss and predict the outcomes with the use of panel data and the use of pooled c..
Compute the cost to the government of this scheme.
Ithaca is considering a new $50,000 snowplow that will save the city $600 per day of use compared to the existing one. It should last 10 years and have a resale value of $2000. To obtain a 12% rate of return, what is the minimum number of days per..
Compare the degree of redistribution each suggests.
A sample of 500 business professionals found that 30% chose an airline based on price. If the population proportion of all business professionals who select an airline based on price is .27 What is the probability
Analyze how does the bank's finding relates to economists' traditional focus on what people do, rather than what they say they will do.
Your company just purchased office furniture (Asset class 00.11) for $100,000 and placed it in service an August 13, 2007. The cost basis for the furniture is $100,000, and it will be depreciated with the GDS using half-year convention.
One of these is the Standard model, while the other is the Deluxe model. The profit per unit on the Standard model is $60, while the profit per unit on the Deluxe model is $40. The Standard model requires 20 minutes of assembly time
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