Suppose you notice that a $7 billion tax-cut was accompanied by a $9 billion increase in consumer spending in the same year. How would you explain why consumer spending increased by more than the tax-cut?
Show the effects of the dollar appreciation and depreciation with the euro on the price of U. S. exports and imports by updating the attached table.
Suppose there are 12 firms in an industry. The percentage of total sales is given in the following table: Firm Percentage of total sales 1 16 2 14 3 12 4 12 5 10 6 8 7 6 8 6 9 5 10 4 11 4 12 3 Calcula
Consolidated Salt Company sells table salt to both retail grocery chains and commercial users (e.g., bakeries, snack food makers, etc.). The demand function for each of these markets is: Retail grocery chains: P1 = 180 - 8Q1 Commercial users: P2 = 100 - 4Q2 where P1 and P2 are the prices charged and Q1 and Q2 are the quan
Show the consumption and saving schedules graphically. Determine the APC and APS for each level of income. Now, determine the MPC and MPS for each change in the income level. Locate the break-even point. How is it possible for households to dissave low income levels? If the proportion of total income that is consumed decreases
Please advise if my answers are correct. I think I am weak in part d. Question In 2003 to 2004, the Canadian dollar appreciated against the US dollar. Explain the effects of this appreciation on a. Canadian importers of goods from the US. (2 marks) b. Canadian firms that sell commodities to US buyers. (2 marks)
For each of the following products, could consumer lock-in or network externalities (or both) create a barrier to entry? Explain why or why not. a. Toothbrush b. DVD's c. Video games
Igh grade. The standard CDs are used primarily in computer drives and are designed for data storage rather than accurate sound reproduction. The company only recently began producing the higher quality, high grade model to enter the lucrative music recording market. Since the new product was introduced, profits have seen only a
I have a website where I offer cash rebates for buying stuff. For instance, if someone purchases a pair of shoes, I give them a $10 cash rebate. For that particular sale I will receive a commission of say, $25, so my net revenue from that offer is $15. The goal is to offer a rebate that is large enough that lots of people are in
Using the data in the following table, estimate (a) the average return and volatility for each stock, (b) the covariance between the stocks, and (c) the correlation between these two stocks.
Using the data in the following table, estimate (a) the average return and volatility for each stock, (b) the covariance between the stocks, and (c) the correlation between these two stocks. Realized Returns Year Stock A Stock B 1998 -10% 21% 1999 20% 30% 2000 5% 7% 2001 -5% -3% 2002 2% -8% 2003 9%
Suppose total benefits and total costs are given by B(Y) = 100Y - 8Y2 and C(Y) = 10Y2. What level of Y will yield the maximum net benefits? Show your work. a. 75/36 b. 75/18 c. 50/18 d. 100/36
Suppose you were having lunch with your best friend who just enrolled in an economics class. He was complaining about how irrelevant the class was, commenting that he saw no useful purpose for economics. According to your friend, "I'm a nursing major. I will never use this stuff in the real world." Having just completed the same
Using the information in the following table, calculate the marginal revenue product (MRP = MPP x MR) (see attachment for table). MPP = change in output/change in resource MR = change in revenue/change in quantity The number of units of resources the firm will want to acquire? Please see
Present a summary of a compared and contrast the advertizing and sales promotion approaches used by Frito-Lay and two competitors
Present a summary of a compared and contrast the advertising and sales promotion approaches used by Frito-Lay and two competitors No format needed or cited just used for discussion.
The economy is in equilibrium at $9.5 trillion dollars, the MPC is .70, and the simple government multiplier is operative. If consumption is raised by $300 billion dollars, what is the maximum change in Real GDP and the new equilibrium point?
Dinkel Manufacturing Corporation accumulates the following data relative to jobs started and finished during the month of June 2008. Costs and Production Data Actual Standard Raw materials unit cost $2.25 $2.00 Raw materials units used 10,600 10,000 Direct labor payroll $122,400 $120,000 Direct labor hours worked
A firm purchases a new computer system for $1M. If the marginal propensity to consume is 0.8, the final change in national income will be a. $800,000 b. $1M c. $1.2M d. $4M e. $5M Which answer is correct, can you explain
What are some differences between continuous and discrete data? Can you give some examples of each from your industry?
The Portland Sea Dogs, the AA affiliate of the Boston Red Sox major league baseball team, have enjoyed a surge in popularity. During a recent home stand, suppose the club offered $5 off the $12 regular price of reserved seats, and sales spurted from 3,200 to 5,200 tickets per game. A.Derive the function that describes the pri
According to the text the GDP per capita in the U.S. was $45,000 dollars in 2007. What will it be in 2017 given the following three assumptions with zero population growth? 0 percent growth rate in GDP 2 percent growth rate in GDP 4 percent growth rate in GDP
Using the website for the St Louis Federal Reserve Look at the Federal reserve rate monthly data from 2001 to 2005 What has happened to the interest rate from 2001 to 2005? Why has this occurred? Look at the consumer prices (personal consumption expenditures - less food and energy And gross domestic product ("1 decimal") fi
C = 500 + 0.8 Y, I = 400, G = 400, (X - M) = -100 Solve for GDP. What would be the impact on GDP if the government spending increased to 500? Why would the increase in GDP be greater than the increase of a $100 increase in government spending?
True or false and explain. "The AD schedule slopes downward because real income rises as the price level declines and everybody buys more as their real income rises."
Which best supports the reason for why the use of teams by Anacorp Corp. is considered critical to its ability to develop and commercialize innovative products? a. Teams composed of professions with diverse backgrounds enable the company to benefit from the use of dispersed knowledge. b. Team decision making co
Assume the government cuts its purchases by $120 billion. As a result, the budget deficit is reduced by $40 billion, private domestic decreases by $10 billion, disposable personal income decrease by $80 billion and the trade deficit is reduced by $15 billion. By how much has national income (y) changed?
1. A pack of cigarettes a day adds up to $1190 a year on average; it's more in states that have higher taxes on tobacco. Calculate what you or a loved one spends using a smoker's calculator. 2. The article states that the yearly cost of smoking a pack of cigarettes a day is $1190. Find the average cost of a pack of cigarettes
R2 is a statistical measure which: a) determines how important one variable is in explaining the value of another variable b) tests the true value of a variable c) determines how well an equation can estimate the relationship between one variable and a set of other variables d) all of the above e) none of the above Whi
The Rusty Anchor Bar has 2 types of patrons: legal and underage drinkers. Even though it is illegal to allow entry to underage drinkers, there is no perfect way to identify underage drinkers since they often use fake identification cards. The penalty for serving underage drinkers is severe - the bar could lose its license. Ass
Two consumers, Consumer 1 and Consumer 2, purchase the same product. They have the following demand curves: Q1 = 500 - 10 P and Q2 = 500 - 20 P. MC for the firm is $10. (a) Calculate the prices that should be charged to each customer if the seller is able to use first degree price discrimination. (b) Is this a good
A firm should increase advertising if the net marginal revenue derived is: equal to the marginal cost of advertising. greater than the marginal cost of advertising. greater than zero. less than the marginal cost of advertising.