Economics

Suppose that Omar’s marginal utility for cups of coffee is constant at 2.5 utils

Suppose that Omar’s marginal utility for cups of coffee is constant at 2.5 utils per cup no matter how many cups he drinks. On the other hand, his marginal utility per doughnut is…

Suppose that Panasonic and Zenith are the only two firms that can produce a new

Suppose that Panasonic and Zenith are the only two firms that can produce a new type of 3D TV. The payoffs (in millions of dollars) from entering the product market are shown in t…

Suppose that Panasonic and Zenith are the only two firms that can produce a new

Suppose that Panasonic and Zenith are the only two firms that can produce a new type of high-definition television. The payoffs in millions of dollars from entering this market ar…

Suppose that Paulie and Vinny each can produce ice cream or t-shirts. The table

Suppose that Paulie and Vinny each can produce ice cream or t-shirts. The table below shows the quantity of each good that Paulie and Vinny each can produce in one hour, respectiv…

Suppose that Portugal and Denmark both produces beer and olive s, Portugal oppor

Suppose that Portugal and Denmark both produces beer and olive s, Portugal opportunity cost of producing a crate of olive is 4 barrel of beer while Denmark opportunity cost of pro…

Suppose that Portugal and Germany both produce beer and olives. Portugal\'s oppo

Suppose that Portugal and Germany both produce beer and olives. Portugal's opportunity cost of producing a crate of olives is 5 barrels of beer while Germany's opportunity cost of…

Suppose that Portugal and Sweden both produce jeans and shoes. Portugal\'s oppor

Suppose that Portugal and Sweden both produce jeans and shoes. Portugal's opportunity cost of producing a pair of shoes is 5 pairs of jeans while Sweden's opportunity cost of prod…

Suppose that Proton and Meek are the two leading firms in their sports drink ind

Suppose that Proton and Meek are the two leading firms in their sports drink industry and that their respetive annual profits depends not only one their advertising decisions but …

Suppose that Px = A LX times W + A kx times r = 60 times r = 60 times W +40 time

Suppose that Px = ALX times W + Akx times r = 60 times r = 60 times W +40 times r and that Py = ALy times W + Aky times r = 75 times W +25 times r A.) If Px = Py = 100, what are t…

Suppose that Rose’s tastes for roses (x) and chocolate (y) can be represented by

Suppose that Rose’s tastes for roses (x) and chocolate (y) can be represented by the utility function u( x,y) = 5ln( x +1) + y , where MUx = 5 ( x +1) and MUy = 1. Assume price of…

Suppose that S2,400 is set aside each year and invested in a savings account tha

Suppose that S2,400 is set aside each year and invested in a savings account that pays 8% nterest pe yer, co ponded aranaus a. Determine the acoumulated savings in this aopount at…

Suppose that Sam and Diane took out a 30-year mortgage in 1973.They are required

Suppose that Sam and Diane took out a 30-year mortgage in 1973.They are required to pay the bank each month from 1974 through2004. What impact did inflation have on their mortgage…

Suppose that Shaw Communications has a cable monopoly in Vancouver. The followin

Suppose that Shaw Communications has a cable monopoly in Vancouver. The following table gives Shaw's demand and costs per month for subscriptions to basic cable for simplicity, we…

Suppose that Southern Cable Company is a monopolist in the market for cubic TV s

Suppose that Southern Cable Company is a monopolist in the market for cubic TV services in the rural town of Smithiburg, Virginia. If the market wage rate of the technicians it em…

Suppose that Spain and Germany both produce jeans and stained glass. Spain\'s op

Suppose that Spain and Germany both produce jeans and stained glass. Spain's opportunity cost of producing a pane of stained glass is 4 pairs of jeans while Germany's opportunity …

Suppose that Spain has a Gini coefficient of 0.5, France has a Gini coefficient

Suppose that Spain has a Gini coefficient of 0.5, France has a Gini coefficient of 0.4, and Germany has a Gini coefficient of 0.3. Based on this information, which of the followin…

Suppose that Switzerland and Portugal both produce oil and stained glass. Switze

Suppose that Switzerland and Portugal both produce oil and stained glass. Switzerland's opportunity cost of producing a pane of stained glass is 7 barrels of oil, while Portugal's…

Suppose that Thurston, a color blind consumer, has $80 to spend on either pink o

Suppose that Thurston, a color blind consumer, has $80 to spend on either pink or lime green sweaters. Thurston does not care what color sweater he wears but deems it very importa…

Suppose that Tommy Hilfiger\'s marginal cost of a jacket is a constant $125.00 a

Suppose that Tommy Hilfiger's marginal cost of a jacket is a constant $125.00 and the total fixed cost at one of its stores is $2,000 a day. This store sells 20 jackets a day, whi…

Suppose that Treasury deposits with the Fed are predicted to fall. If the Fed wa

Suppose that Treasury deposits with the Fed are predicted to fall. If the Fed wants to keep the monetary base from changing it will have to conduct_to offset the expected_in monet…

Suppose that Trevor and Rachel McAdams are married and have three children. Rach

Suppose that Trevor and Rachel McAdams are married and have three children. Rachel is the primary earner in the household. Trevor is considering joining the labor force, at which …

Suppose that Trevor and Rachel McAdams are married and have three children. Rach

Suppose that Trevor and Rachel McAdams are married and have three children. Rachel is the primary earner in the household. Trevor is considering joining the labor force, at which …

Suppose that Trevor and Rachel McAdams are married and have three children. Rach

Suppose that Trevor and Rachel McAdams are married and have three children. Rachel is the primary earner in the household. Trevor is considering joining the labor force, at which …

Suppose that Trevor and Rachel McAdams are married and have three children. Rach

Suppose that Trevor and Rachel McAdams are married and have three children. Rachel is the primary earner in the household. Trevor is considering joining the labor force, at which …

Suppose that U.S. debt is $100 trillion dollars at the beginning of the fiscal y

Suppose that U.S. debt is $100 trillion dollars at the beginning of the fiscal year. During the fiscal year, the government spending is $7 trillion and government transfers are $2…

Suppose that U.S. mutual funds suddenly decide to invest more in Canada. a. What

Suppose that U.S. mutual funds suddenly decide to invest more in Canada. a. What happens to Canadian net capital outflow, Canadian saving, and Canadian domestic investment? What i…

Suppose that U.S.-based Qualcomm and European-based T-Mobile are contemplating i

Suppose that U.S.-based Qualcomm and European-based T-Mobile are contemplating infrastructure investments in a developing mobile telephone market. Qualcomm presently uses a code-d…

Suppose that US Airways aggregate demand curve for seats in this quarter is Q =

Suppose that US Airways aggregate demand curve for seats in this quarter is Q = 20000-20*P for P < 1000 where P is its price in dollars. Its marginal cost is $100 per passenger…

Suppose that Under Armor and Nike are the sole producers of a particularly comfo

Suppose that Under Armor and Nike are the sole producers of a particularly comfortable athletic shoe. The two firms currently charge the same price for their products. If neither …

Suppose that Y1 . Yn are i 1 d. random variables with a Nueyi distribution. How

Suppose that Y1 . Yn are i 1 d. random variables with a Nueyi distribution. How would the probability density of Y change as the sample size n increases? Hint: Think about the law…

Suppose that Yakov, an economist from a research institute in Alberta, and Ana,

Suppose that Yakov, an economist from a research institute in Alberta, and Ana, an economist from a public television program, are arguing over saving incentives. The following di…

Suppose that a 5-year Treasury bond pays an annual rate of return of 1.3%, and a

Suppose that a 5-year Treasury bond pays an annual rate of return of 1.3%, and a 5-year bond of the fictional company Risky Investment Inc. pays an annual rate of return of( 7.1%.…

Suppose that a Hydrocarbon Cracking Operation, Inc. is a monopoly and has the de

Suppose that a Hydrocarbon Cracking Operation, Inc. is a monopoly and has the demand, marginal revenue, and marginal cost functions as shown in the graph below. a. What price and …

Suppose that a Sony Playstation (manufactured in Japan) sells for a lower price

Suppose that a Sony Playstation (manufactured in Japan) sells for a lower price in China than in the United States. What is the most likely reason for the difference in prices in …

Suppose that a Starbucks Cappuccino costs dollar 3 65 in the U S and 2 60 pounds

Suppose that a Starbucks Cappuccino costs dollar 3 65 in the U S and 2 60 pounds in the U.K. The nominal exchange rate is 0.75 pounds per dollar. The real exchange rate 1.05 U.K. …

Suppose that a U.S. firm and a Japanese firm produce identical output, use ident

Suppose that a U.S. firm and a Japanese firm produce identical output, use identical technology, and face identical input prices. Furthermore, when the world price of output is $1…

Suppose that a bank has $100 million in checkable deposits and the required rese

Suppose that a bank has $100 million in checkable deposits and the required reserve ratio is 0.1. If the bank has $5 million in excess reserves, then its actual reserves must be? …

Suppose that a bee-keeper locates next to an orchard that has 20 acres. Each hiv

Suppose that a bee-keeper locates next to an orchard that has 20 acres. Each hive can pollinate 1/4 acres of trees which raises the value of output on that quarter acre by $40. ) …

Suppose that a bond is purchased between coupon periods. The days between the se

Suppose that a bond is purchased between coupon periods. The days between the settlement date and the next coupon period is 115. There are 183 days in the coupon period. Suppose t…

Suppose that a borrower and a lender agree on the nominal interest rate to be pa

Suppose that a borrower and a lender agree on the nominal interest rate to be paid on a loan. Then inflation turns out to be higher than they both expected. 1. Is the real interes…

Suppose that a borrower and a lender agree on the nominal intrest rate to be pai

Suppose that a borrower and a lender agree on the nominal intrest rate to be paid on a loan. Then inflation turns out to be higher than they both expected. a) Is the real interest…

Suppose that a business owns the land on which it factory sits and thus pays no

Suppose that a business owns the land on which it factory sits and thus pays no one rent. The rental market value of the land is $200,000 per year. It pays $800,000 per year for l…

Suppose that a campus restaurant increases its number of employees from 2 per da

Suppose that a campus restaurant increases its number of employees from 2 per day to 4 per day, and that its daily total revenue therefore increases from $90 per day to $200 per d…

Suppose that a car dealer has a local monopoly in selling Volvos. It pays w to V

Suppose that a car dealer has a local monopoly in selling Volvos. It pays w to Volvo for each car that it sells, and charges each customer p. The demand curve that the dealer face…

Suppose that a car dealership wishes to see if efficiency wages will help improv

Suppose that a car dealership wishes to see if efficiency wages will help improve its salespeople’s productivity. Currently, each salesperson sells an average of 2 cars per day wh…

Suppose that a car dealership wishes to see if efficiency wages will help improv

Suppose that a car dealership wishes to see if efficiency wages will help improve its salespeople’s productivity. Currently, each salesperson sells an average of one car per day w…

Suppose that a car dealership wishes to see if efficiency wages will help improv

Suppose that a car dealership wishes to see if efficiency wages will help improve its salespeople’s productivity. Currently, each salesperson sells an average of one car per day w…

Suppose that a car factory initially hires 1500 workers at $30 per hour and that

Suppose that a car factory initially hires 1500 workers at $30 per hour and that each worker works 40 hours per week. Than the factory unionizes, and the new union demand that wag…

Suppose that a car factory initially hires 1500 workers at $30 per hour and that

Suppose that a car factory initially hires 1500 workers at $30 per hour and that each worker works 40 hours per week. Then the factory unionized, and the new union demands that wa…

Suppose that a certain society consists of only two people and that each of thes

Suppose that a certain society consists of only two people and that each of these people drives a car. Suppose that each person could voluntarily choose to put a pollution control…