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Imagine that you intend to buy a portfolio of ten stocks with some of your savings. Should the stocks be of companies located in the same country?
Twenty years later, 2002, this account had increased to $265. However, the CPI increased to 186. What would be the value (purchasing power) of $265 in 2002?
If the wage rate is $30 perhour and the rental rate on capital is $10 per hour, what is the cost-minimizing input mix for producing 4 units of output?
What dangers are being shown by the rise in food and commodity prices? Explain. Why is it dangerous that the government is ignoring it?
Consider the situation of the concept of Green energy policy and conservation. What is the issue at hand and what are they hoping to do? Explain. What are the anticipated benefits of using the electri
Consider current budget problem of many states. What is it? Explain. What are the two basic choices for them to get out of financial trouble? Explain the impact of each. Why are some states playing fo
Thirsty Ed drinks only pure spring water, but he can purchase it in two different-sized .75 liter (good x1) and 2 liter (good x2) containers. Because the water itself is identical, he regards these tw
Suppose venezuela imports TV sets at a price of $150 each. Under free trade, how many sets does Venezuela produce, consume, and import?
Assume that the banking system has total reserves of $200 billion. Assume also that the reserve ratio is 40 percent and that there is no currency in this economy.
Consider the situation of the US debt and deficit? Explain the problem. Is the deficit and the debt a problem to be dealt with or not? Explain. Why do those who worry say it is different from the Worl
That means that businesses, consumers and whole societies face tradeoffs whenever they make a decision.
If the MAAR is 12 percent, compute the value of X that makes the two alternatives equally desirable.
Please explain the reasons that we have to check "heteroskedasticity robust standard errors" when we have heteroskedasticity issue?
How might the bankruptcy of General Motors and Chrysler--and the government response--damage the efficiency of the U.S. economy?
Suppose inflation rate in Philippines is 100% over one year, but the inflation rate in Japan is only 3%. According to relative PPP, what should happen during the year to the Japanese yen exchange rate
If 85 million adults are not working what is the unemployment rate?
A monopolist sets price at $10 and sells 100 units. The corresponding marginal revenue is $5 and the marginal cost is $3. What recommendation regarding price and quantity would you give this monopolis
In a closed economy, consumers spend $100 regardless of the level of income, the marginal propensity to consume is .8. Investment is equal to $200. The government spends $500 dollars and collects $150
Explain what is the Ricardian model for international trade. In your explanation
Consider an industry with a small number of firms with market power. Suppose they sell identical products and have identical cost of production. If each firm posts a price without knowing the prices
A perfectly competitive industry is characterized by the cost function for individual firms: TC(q) = 0.01q2 + 100
Characterize the long run equilibrium of a perfectly competitive industry in which average costs are U-shaped as output increases, under both restricted and free entry.
Explain the process or mechanism underlying how a market-based economic system allocates scares resources. Identify how this process might differ from a centrally planned or command economy.
In spite of significant price increases for gasoline in the last two years, the amount of gasoline consumed has not decreased a lot--does this mean that gasoline is an exception to the law of demand o
Country risk and currency risk are unique to international lending. In this context, please, discuss why country risk and currency risks are unique to international lending?