ECON MACRO
5th Edition
ISBN: 9781337000529
Author: William A. McEachern
Publisher: Cengage Learning
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Question
Chapter 1, Problem 2.2P
To determine
The impact of rational self-interest to make the decision.
Introduction:
The term “Rational” is being logical in the approach. A rational self interest is determined by being not blind materialism or having an approach of being pure selfishness or greed.
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Ch. 13 Please help solving all parts of this question. Thank you!
11
The statement that correctly describes the capital goods is __________.
a.
Labor power used for producing a product
b.
None of the options
c.
Goods and services that are consumed fully when purchased by the consumers
d.
Goods such as tools machinery etc. which are used to create final consumer goods
19-
In an economy there is a 15.2 % fall in the consumer spending on the same basket of goods and services between the years 2015 and 2016. This means that there is ____.
a.
Deflation
b.
Rise in Price level
c.
No change in price level
d.
Inflation
Knowledge Booster
Similar questions
Economy
1. Pamela worked as an auditor earning $60,000 per annum. She decided to open her own consultancy business. For her business, she rents an office where she pays $2,000 per annum. Further, her utility expenses are $300 per annum and she hired a part-time secretary to whom she pays $25,000 per annum. To start her business, she borrowed $40,000 from her savings, where she was earning an interest of $500 per annum. In her first year, her business earned a revenue of $300,000. Based on this information, calculate the following:
a. Total implicit costs per annum
b.Total explicit costs per annum
c.Total accounting costs and accounting profit for that year
d.Total economic costs and economic profit for that year
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21. A fall in the general price level of the country leads to _______________.
a.
Rise in the real income of the customers
b.
No change in the real income of the customers
c.
None of these
d.
Fall in the real income of the customers
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Item 14
Harvey quit his job at State University, where he earned $58,000 a year. He figures his entrepreneurial talent or forgone entrepreneurial income to be $8,000 a year. To start the business, he cashed in $60,000 in bonds that earned 10 percent interest annually to buy a software company, Extreme Gaming. In the first year, the firm sold 15,000 units of software at $60 for each unit. Of the $60 per unit, $50 goes for the costs of production, packaging, marketing, employee wages and benefits, and rent on a building.
The total revenues of Harvey's firm in the first year were
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11-The selling price of a product in Oman is higher than the price in Dubai although both products are having the same nature. Customers are buying the product from Dubai due to the price differences. What will be the effect of the customers buying the products from Dubai? (1) Due to this, appreciation in the value AED (United Arab Emirates Dirham) relative to OMR, (2) Due to this, depreciate in the value AED (United Arab Emirates Dirham) relative to OMR, (3) Product sold in Oman market will decrease and the retail price will go down, (4) Product sold in Oman market will decrease and the retail price will go up, (5) The demand for the product and prices will increase in Dubai
a. (2) and (3) only
b. (1), (2), (3), (4) and (5)
c. (1) and (2) only
d. (1), (3) and (5) only
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Identification. Answer the following questions below.
QUESTIONS:
1.) What is the statistical technique for finding the best relationship between dependent variable and selected dependent variable or variables?
2.) What is the increase in output that results from an increase in all of a firm’s outputs by some proportions?
3.) What production function are the 3 stages of production applicable?
4.) What stage of production is the increase in output that results from increase in a firm's outputs by some proportion?
5.) In long run production, a change in output necessitates the what?
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7
Please complete blank boxes and show your work. Thank you!
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Prepare a chart that compares India, Spain, and South Africa based on the data you find. Describe the key differences between the countries. Rank these as high-, medium-, and low-income countries, explain what is surprising or expected about this data.
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8-
India and China are the two major economies in the Asian continent. Both countries have a trillion-dollar GDP. Suppose to calculate the GDP of the year 2021, India has decided to use the prices and quantities of the year 2021 whereas China decided to use the prices of 2020 and quantities of 2021. You are required to answer the following.
a) What the strategy adopted by India to calculate the GDP of the country.
b) What the strategy adopted by China to calculate the GDP of the country.
c) Which strategy is better? Why?
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19
Question 19 options:
The was a consumer sees the product as it compares to other similar products in the market is
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1. Suppose an economy produces steel, wheat, and oil. The steel industry produces $80,000 in revenue, spends $4,000 on oil, $8,000 on wheat, pays workers $60,000. The wheat industry produces $120,000 in revenue, spends $20,000 on oil, $10,000 on steel, and pays workers $80,000. The oil industry produces $180,000 in revenue, spends $20,000 on wheat, $20,000 on steel, and pays workers $80,000. There is no government. There are neither exports nor imports, and none of the industries accumulate or deaccumulate inventories. Calculate GDP using the production and income approaches.
Please provide what rules/formulas are used to solve this and the final answer.
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Mm.44.
Subject:- Economy
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Question- A firm is considering an investment that will earn a 6% rate of return. If it were to borrow the money, it would have to pay 8% interest on the loan, but it currently has the cash, so it will not need to borrow. Should the firm make the investment?
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