Economics

Assume that an individual consumes two goods, X and Y. The total utility (assume

Assume that an individual consumes two goods, X and Y. The total utility (assumed measurable) of each good is independent of the rate of consumption of other good. The price of X …

Assume that an individual consumes two goods, X and Y. The total utility (assume

Assume that an individual consumes two goods, X and Y. The total utility (assumed measurable) of each good is independent of the rate of consumption of other good. The price of X …

Assume that an individual consumes two goods, X and Y. The total utility of each

Assume that an individual consumes two goods, X and Y. The total utility of each good is independent of the rate of consumption of the other good. The price of X and Y are $40 and…

Assume that an individual consumes two goods, X and Y. The total utility of each

Assume that an individual consumes two goods, X and Y. The total utility of each good is independent of the rate of consumption of the other good. The price of X and Y are $40 and…

Assume that an individual consumes two goods, X and Y. The totalutility (assumed

Assume that an individual consumes two goods, X and Y. The totalutility (assumed measurable) of each good is independent of therate of consumption of other good. The price of X an…

Assume that an individual has 80 hours per week that can be distributed between

Assume that an individual has 80 hours per week that can be distributed between two normal products work and leave ( leisure ) . Draw a bid curve for an individual who can earn a …

Assume that an individual has budget of $100 to spend on soft drink (Y) and pizz

Assume that an individual has budget of $100 to spend on soft drink (Y) and pizza (X) The market prices are $ 20 and $25 respectively.            How much units does an individual…

Assume that an individual has the utility functio where X and Y represent units

Assume that an individual has the utility functio where X and Y represent units of goods X and Y, respectively, and U is some index of utility.MUx = Y+1 and MUy=X+2. This individu…

Assume that an individual has to decide between a two-day vacation and a three-d

Assume that an individual has to decide between a two-day vacation and a three-day vacation to the same place. If the uses optimization in differences, he will choose the three-da…

Assume that an open economy Neverland is operating under a fixed exchange rate r

Assume that an open economy Neverland is operating under a fixed exchange rate regime. Currently, Neverland’s economy is suffering a deep economic recession meaning that Neverland…

Assume that an over the counter cold medicine is introduced in the market. The m

Assume that an over the counter cold medicine is introduced in the market. The medicine is sold in a pack of 100 caplets. Initially, the manufacturer put the product on the market…

Assume that banks do not hold excess reserves and that households deposits. Supp

Assume that banks do not hold excess reserves and that households deposits. Suppose the banking system has total reserves of $500 billion. Find the simple money multiplier and the…

Assume that banks do not hold excess reserves and that households do not hold cu

Assume that banks do not hold excess reserves and that households do not hold currency, so the only form of money is demand deposits. To simplify the analysis, suppose the banking…

Assume that banks do not hold excess reserves and that households do not hold cu

Assume that banks do not hold excess reserves and that households do not hold currency, so the only form of money is demand deposits. To simplify the analysis, suppose the banking…

Assume that banks do not hold excess reserves and that households do not hold cu

Assume that banks do not hold excess reserves and that households do not hold currency, so the only form of money is checkable deposits. To simplify the analysis, suppose the bank…

Assume that banks do not hold excess reserves and that households do not hold cu

Assume that banks do not hold excess reserves and that households do not hold currency, so the only form of money is demand deposits. To simplify the analysis, suppose the banking…

Assume that banks do not hold excess reserves and that households do not hold cu

Assume that banks do not hold excess reserves and that households do not hold currency, so the only form of money Is demand deposits. to simplify the andlysis, suppose the banking…

Assume that both Spark and Vodafone plot on the Security Market Line (SML). Spar

Assume that both Spark and Vodafone plot on the Security Market Line (SML). Spark has a beta of 2.6 and an expected return of 21.2%. Vodafone has a beta of 0.9 and an expected ret…

Assume that consumers in economy ZYX spend, on average, 80% to 90% of any new (a

Assume that consumers in economy ZYX spend, on average, 80% to 90% of any new (additional) disposable income to purchase goods and services. Based on a simple 3- sector Keynesian …

Assume that consumers in economy ZYX spend, on average, 80% to 90% of any new (a

Assume that consumers in economy ZYX spend, on average, 80% to 90% of any new (additional) disposable income to purchase goods and services. Based on a simple 3- sector Keynesian …

Assume that country A and country B decide to use half of the resources in the p

Assume that country A and country B decide to use half of the resources in the production of each good. Indicate the points of the maximum output of each good on the graphs for ea…

Assume that country A exists in a fixed exchange rate regime with country B and

Assume that country A exists in a fixed exchange rate regime with country B and a few other neighoring countries. Suppose country A experiences a significant reduction to aggregat…

Assume that demand for a product that is produced at zero marginal cost is refle

Assume that demand for a product that is produced at zero marginal cost is reflected in the table below. 2. QuantityPrice S36 $33 $30 $27 $24 $21 $18 $15 $12 $ 9 $6 $3 S 0 0 200 4…

Assume that every citizen of country X has the utility function of u(x, y) = 5x+

Assume that every citizen of country X has the utility function of u(x, y) = 5x+4y. Say that x denotes cigarettes and y denotes alcohol. The government of country X receives reven…

Assume that firm 1 performs R&D that benefits firm 2. Firm 1\'s marginal benefit

Assume that firm 1 performs R&D that benefits firm 2. Firm 1's marginal benefits and marginal costs from a quantity x of R&D are given by MB1(x)= 20 - 10x; MC1(x)=5 Firm 2…

Assume that firms each face a total cost function of TC = 10 + 5Q to produce art

Assume that firms each face a total cost function of TC = 10 + 5Q to produce artificial Christmas trees. Note that this total cost function indicates that there is a constant marg…

Assume that firms in a perfectly competitive market are earning economic profits

Assume that firms in a perfectly competitive market are earning economic profits. Which of the following statements describes the change in market price and output as a result of …

Assume that fixed cost are S100. Using ihc data in Table 3, above, the total cos

Assume that fixed cost are S100. Using ihc data in Table 3, above, the total cost of producing 6 units of output is: In Table 3, above, the firm would shut down in the short-run i…

Assume that following model of the economy: C = 180 + 0.8 (Y-T), I = 190, G = 25

Assume that following model of the economy: C = 180 + 0.8 (Y-T), I = 190, G = 250, T = 150 1. If government purchases were to increase by 10 to 260, what would happen to each of t…

Assume that hotdogs and hamburgers are substitute goods. In the competitive mark

Assume that hotdogs and hamburgers are substitute goods. In the competitive market for hamburgers, there is an increase in the price of hotdogs (due to a decrease in the supply of…

Assume that in 2009, the following prevails in the Republic of Askil: Y= 5,000 C

Assume that in 2009, the following prevails in the Republic of Askil: Y= 5,000 C= 4,000 S= 1,000 I (planned) = 1,250 G = 0 T = 0 Assume that households consume 75% of their income…

Assume that in 2009, the following prevails in the Republic of Askil: Y= 5,000 C

Assume that in 2009, the following prevails in the Republic of Askil: Y= 5,000 C= 4,000 S= 1,000 I (planned) = 1,250 G = 0 T = 0 Assume that households consume 75% of their income…

Assume that in Babilonia no one is born or dies, but just spend their life eithe

Assume that in Babilonia no one is born or dies, but just spend their life either out of the labor force, or in the labor force and unemployed, or employed. Assume crucially that …

Assume that in a different competitive industry, there are 8 firms, each with a

Assume that in a different competitive industry, there are 8 firms, each with a marginal cost equal to MC = 20-10q +q^2 Average cost is minimized at q = 10 and AVC is minimized at…

Assume that in each round, real GDP Is equal to aggregate expenditure In the pre

Assume that in each round, real GDP Is equal to aggregate expenditure In the previous round. So if aggregate expenditure was $725 billion In round 1, then you can assume that real…

Assume that in short-run equilibrium, a particular monopolistically competitive

Assume that in short-run equilibrium, a particular monopolistically competitive firm charges $10 for each unit of its output and sells 52 units of output per day. The average tota…

Assume that in the Solow model, a country\'s production function is: y=k^(0.5) w

Assume that in the Solow model, a country's production function is: y=k^(0.5) where y is per capita income and k is per capita stock. There is no population growth and no technolo…

Assume that in the past month there is a $200 billion increase from the previous

Assume that in the past month there is a $200 billion increase from the previous month in the value of US imports of oil due to higher oil prices. Holding everything else constant…

Assume that initially Boeing has a monopoly in the production of large commercia

Assume that initially Boeing has a monopoly in the production of large commercial aircraft. The monopoly allows Boeing to earn proÖts of $1 billion. Airbus is considering whether …

Assume that initially economy is in the long-run equilibrium. For each of the fo

Assume that initially economy is in the long-run equilibrium. For each of the following scenarios, say what will happen in the long run. 1.) Because of a negative demand shock out…

Assume that it costs about $40,000 a year to keep a prisoner incarcerated and th

Assume that it costs about $40,000 a year to keep a prisoner incarcerated and the average prisoner would have caused $18,500 worth of damage to society per year if free. If this e…

Assume that it takes the US 150 units of labor to produce a table and 30 units o

Assume that it takes the US 150 units of labor to produce a table and 30 units of labor to produce a chair. Assume it takes the Netherlands 100 units of labor to produce a table a…

Assume that it takes the US 150 units of labor to produce a table and 30 units o

Assume that it takes the US 150 units of labor to produce a table and 30 units of labor to produce a chair. Assume it takes the Netherlands 100 units of labor to produce a table a…

Assume that labor demand is given by Qd = 200 - 20P and labor Supply is given by

Assume that labor demand is given by Qd = 200 - 20P and labor Supply is given by Qs = 10P - 10, where P = wage and Q = quantity of labor. If a minimum wage of $8 is imposed on thi…

Assume that labor is a variable input. The average wage of workers increases in

Assume that labor is a variable input. The average wage of workers increases in a purely competitive industry. This change will result in a(n) Multiple Choice increase in marginal…

Assume that labor supply and labor demand are described by the following equatio

Assume that labor supply and labor demand are described by the following equation -labor supply:L=5w -labor demand:L=110-0.5w where w=wage expressed in dollars per hour, and L(s) …

Assume that locating a cement factory in the middle of Boston would save the pro

Assume that locating a cement factory in the middle of Boston would save the producer $5 million at a public expense, in pollution and traffic noise, of $20 for each of 500,000 Bo…

Assume that long-run real GDP (Y)?s8,00in a closed economy. Consumption (C)is gi

Assume that long-run real GDP (Y)?s8,00in a closed economy. Consumption (C)is given by: C 1000+0.662(Y-T) Investment (I) is given by I- 1,200- 100r wh is the real interest rate in…

Assume that manufacturer of cameras sells the cameras thorough retailers. The nu

Assume that manufacturer of cameras sells the cameras thorough retailers. The number of cameras sold at each retailer is a function of the price of the camera (p) and the amount o…

Assume that maximum feasible hourly productions levels if all resources are util

Assume that maximum feasible hourly productions levels if all resources are utilized in the United States are either 8 yards of fabric or 4 bushels of wheat. Maximum feasible prod…